Calcutta: The PSU major MMTC Ltd has decided to branch out into retail and special economic zones (SEZs).

The multi-commodity trading company will create separate companies for all these business sections. It is already in search of private associates.

The company has drifted expressions of interest to pick a business partner for its retail venture, and three companies are desperate to collaborate. MMTC will have a 26 per cent stake in the entity.

MMTC representatives didn’t provide the further details, but it is learnt that Mukesh Ambani’s Reliance Retail is in the fight.

Asheesh Majumdar, chief general manager of MMTC, said, “We are already into jewellery retailing through two self-owned shops and franchisees. But this will be a new venture and a brand. We plan to have 50-60 outlets in the next three years.”

Tata’s Tanishque and Gitanjali Gems are two of the leading Indian jewellery retailers but the room is expanding with new entrants including Reliance and Future Group wanting to cash in on the massive demand for gold and diamond.

MMTC also wishes to establish a gold refinery.

The company has selected two foreign entities who will partner MMTC in this project. The refining unit will also make medallions to cater to the growing trend of investing in physical gold.

“The board is meeting later this month. It may take a decision then,” a company official informed. The refinery and medallion entity will involve an investment of Rs 100 crore.

MMTC is in quest of 75-100 acres to establish jewelry SEZ. It has also made discussions with the Bengal and Karnataka administration.

The land has to be near to the airport to lessen the risk of shipping the metal by road.

“Wherever it comes up, the state government will be a partner in the project, apart from other parties,” an official said.