BLUE Star, a leading player in the air-conditioning and refrigeration sectors, has announced a tie-up with the Taiwan-based Hanbell Precise Machinery Co Ltd for supply of hermetic screw compressors. The link will now enable Blue Star to produce its own screw chillers, which are used in central air-conditioning systems. So far, Blue Star had been importing the chillers, resulting in higher freight costs and customs duty. Now, with the supply of Hanbell compressors, which form a vital component of chillers, the Indian company will be able to create synergy and produce its own range of chillers for the domestic as well as overseas markets. As part of the tie-up, the $70-million Hanbell will supply its compressors, which range from 25 tonne to 500 tonne capacity, only to Blue Star in India. The Indian company will be using these compressors in its five models of water-cooled and five models of air-cooled water chilling machines. According to Mr Satish Jamdar, Executive Director of Blue Star Ltd., the company has been importing 200 chillers a year, but after this tie-up it might produce 400 chillers, using a combination of Hanbell compressors and its design capabilities. "We are also thinking of setting up one more production facilities, which we will finalise in the next three or four months," he told press persons here on Friday.