EBRD supports growth of Turkish agribusiness firm through new loan

EBRD supports growth of Turkish agribusiness firm through new loan

ISTANBUL
In a new boost to agribusiness in Turkey, the European Bank for Reconstruction and Development said it is providing a 20 million euro loan to Yayla Agro, a family-owned producer of pulses and rice in Turkey, in a statement on April 3. 

An ambitious development and investment program is set to spur the competitiveness of this fast-growing local firm, read the statement.

Competitiveness is among the six qualities the EBRD has identified as the characteristics of a successful economy, which should also be well-governed, green, inclusive, resilient and integrated.

A 6 million euro portion of the total loan amount will be extended by the Taiwan International Cooperation and Development Fund (TaiwanICDF) which is in charge of Taipei China’s overseas development program, according to the statement. 

It is the first EBRD co-financing with TaiwanICDF in Turkey’s corporate sector and part of the Bank’s efforts to attract new institutional investors to the country, it said. 

Yayla Agro is headquartered in Ankara and runs plants in Mersin in southern Turkey as well as in Kazan in the province of Ankara, with an overall capacity of 820,000 tons per year. The company exports to more than 45 countries and has almost tripled its sales over the past three years. It is now planning to increase its share of sales in value-added products. 

As part of this strategy, Yayla Agro is setting up a new plant in Mersin for organic ready-to-eat products. The EBRD’s long-term loan will finance this investment and related working-capital needs. It will also refinance shorter-term loans.