Information for fruit and vegetables business in CIS
Bank Aval provided $14 mln credit to company Ukrzernoprom for import purchases of grain
Commercial bank Aval has provided a $14 million credit for the term of one year to CJSC Ukrzernoprom for import purchases of grain, Ukzernoprom's First Deputy Head of Board Yevhen Leng has informed.
Ukrzernoprom is one of the leaders of Ukrainian flour milling and bread baking industry.
According to Leng, the National Bank of Ukraine had given preliminary consent to bank Aval to provide a 50 percent re-financing of credits, destined for import purchases of grain. He said that the amounts of grain to be imported by the company would depend on the needs of the country and situation in the world grain market. The members of recently established All-Ukrainian Association of Bakers are making efforts to coordinate activities of grain purchases abroad, in order to get beneficial conditions of contracts.
No other conditions of getting the credit are disclosed by the company at the moment.
Ukrzernoprom started its business in Ukrainian market in late 1998. Now it is a vertically integrated holding, incorporating 30 flour milling and bread baking enterprises in different regions of the country, among which there is Krivoy Rog milling complex with daily processing capacity of 550 tonnes of grain, bread baking plants in Zholtye Vody, Krivoy Rog (Dnepropetrovsk region), Chernigov and other places, egg-producing poultry farms, grain elevators and other farming and processing facilities.
In early November 2002 bank Aval placed Ukrzernoprom's bonds with nominal value of 100 hryvnias for the total sum of 6.4 million hryvnias, providing profitability rate of 16 percent a year.