San Miguel citrus will receive a $ 100 million loan from the IDB to expand exports



[ad_1]

This financing will complement the capital structure of São Miguel, whose export business is, in turn, a large employer of direct and indirect labor in each community where it operates. In Tucumán, Argentina, it employs more than 4,500 people each season.

IFC and BID Invest will contribute US $ 27.5 million and Rabobank US $ 45 million. IFC and BID Invest will also advise San Miguel on the implementation of good environmental practices in key areas such as wastewater treatment.

"We welcome IFC, IDB Invest and Rabobank as partners in our effort to strengthen our position as an Argentine multinational company as we expand into new markets and continue to drive our sustainable agribusiness model," said Romain Corneille, CEO of San Miguel

The financing package offers a term of up to nine years, which is longer than what is currently available in the market. This is essential for this industry, since citrus trees take at least five years to produce quality fruit for export.

The financing will contribute to San Miguel's $ 132.5 million investment plan for the growth of its sustainable, client-oriented business model as the world leader in citrus production and in the processing of value-added citrus products. This will help San Miguel expand its operations in Argentina, Uruguay, Peru and South Africa and increase its production volumes of lemon, orange, mandarin, table grape and avocado.

"We are proud to continue our work with San Miguel to expand its operations. The company is an example of how Argentine companies can compete successfully in the world and create jobs where they are most needed," said David Tinel, regional manager of IFC to the Southern Cone. "IFC is committed to supporting sustainable agribusiness in Argentina and Uruguay and strengthening the export sectors to contribute to the growth and strengthening of the economies of these countries."

"The financing offered by BID Invest for San Miguel seeks to support one of the most important fruit exporters in Latin America and the Caribbean, improving the export capacity of three destinations, such as Argentina, Uruguay and Peru, and generating jobs in the region. of operations implemented in a sustainable way "
said Aitor Ezcurra, head of the corporate division of BID Invest

"Rabobank has been continuously supporting agribusiness companies in Argentina for 25 years and continues to strengthen its commitment to the country, the industry and its clients with transactions such as this $ 100 million financing to San Miguel," said Rafael Bonasso. , representative of Rabobank. "We look forward to continuing to provide support to our customers in the coming years," Rafael said.

Citrus fruits are among the most popular fruits in the world. In the last five years, global demand for oil and lemon juice has grown by more than 3% a year. The lemon industry in Tucumán employs 40,000 workers and produces 1.3 million tons of lemons per year. The industry exports lemons and related products to Europe, the United States, Canada, Russia, Hong Kong and the Middle East.

In August 2017, San Miguel incorporated grape and avocado for the first time through the purchase of Agricultural Hoja Redonda S.A., a Peruvian company of tangerine, table grape and avocado with capacity to produce 28,000 tons per year.

[ad_2]

Source link