European Bank issued the following announcement on June 28.
The European Bank for Reconstruction and Development (EBRD) is providing a €4 million loan to Georgia’s vertically integrated, modern poultry farm, Chirina LLC to finance the increase of their current production capacity by 50 per cent.
The EBRD will finance the construction of 14 new turn-key broiler farmhouses to increase the production of fresh poultry countrywide and be able to export to neighbouring countries.
The project will also benefit from a €99,000 incentive grant aimed at implementing modern building energy management systems in the new farms and will be provided through the EBRD’s Finance and Technology Transfer Centre for Climate Change (FINTECC) programme designed to transfer technology in the area of climate change mitigation and adaptation.
The EBRD first started to work with Chirina LLC in 2017 through the provision of the Bank’s international advisory services that were funded by the European Union under the EU4BUSINESS initiative.
Launched in 2011, as a greenfield project, by the Georgian businessman Mr. Revaz Vashakidze, Chirina LLC has grown to become the largest vertically integrated poultry farm in Georgia. During the last few years it has doubled domestic poultry production, substituting low quality imports of frozen chicken with the high quality locally produced goods. Operating according to the best food safety management principles, Chirina LLC ensures product safety throughout the entire production cycle, starting from the cultivation of grains for feed up to the distribution of the final product. Located in east Georgia, the poultry complex includes hatchery, breeding farm, rendering and water treatment facility, as well as farm lands producing corn and wheat, grain drying and storage facilities to ensure the product quality and safety.
Chirina LLC is also aiming to support regional inclusion by introducing a special training programme for grain farmers within its supply chain and beyond (at least 100 local farmers including 20 female) to increase adoption of modern farming techniques and raise crop yields and quality.
“The EBRD is pleased to support Chirina’s expansion. This project will have a strong demonstration effect in terms of the development of the value-chain in agribusiness sector in Georgia, at the same time enhancement of import substitution, increase of food safety standards as well as cross-border trading. This is exactly a type of project in the private sector that EBRD is proud to support and would like work with many more local manufacturers and producers, through variety of financing tools.” said Catarina Bjorlin Hansen, EBRD Regional Director for Caucasus.
The EBRD is a leading institutional investor in Georgia. Since the start of its operations in the country, the Bank has invested over €3.37 billion in 234 projects in the financial, corporate, infrastructure and energy sectors, with 90 per cent of these investments in the private sector.
Original source can be found here.