Mykolaiv, Ukraine, September 20, 2005
- The International Finance Corporation, the private sector arm of the
World Bank Group, launched its Southern Ukraine Vegetable Supply Chain
Development Project. The three-year initiative will work with farmers in
Southern Ukraine to help them expand and improve access to markets and
attain long-term sustainability. The project is funded by the Swedish International
Development Agency (Sida).
The project will advise private farmers that produce vegetables and fruit
on farm man-agement skills, product quality, and modern sales and marketing
techniques in order to help them become suppliers to large food processors
in the region. One of such compa-nies is Sandora Ltd., Ukraine’s number
one producer of branded packed juices and nec-tars, and an IFC investment
client. The project will also provide legal support to farmers in structuring
supply contracts with major food processors.
“Technical assistance will use the momentum created by IFC’s investment
in Sandora to help bring farms to international standards of competitiveness”
said Ebbe Johnson, Pro-ject Manager of IFC’s Southern Ukraine Vegetable
Supply Chain Development Project.
“Agribusiness is a key focus of IFC’s technical assistance in Ukraine
because of the rich natural potential of the country, and the positive
impact that its development has on peo-ple who reside in rural areas. IFC
and Sida share a common development mandate, and this project is a further
achievement in our successful cooperation” said Ian Luyt, Senior Operations
Manager, IFC Agribusiness Technical Assistance Programs.
The Ambassador of Sweden to Ukraine, John-Christer Ahlander, said that
“Ukraine is a country of priority for Swedish development cooperation.
Sweden plans to double its cooperation with Ukraine by the year 2008.
Current annual support amounts to approxi-mately USD 9.0 million to fund
expert assistance in democracy, social development, economic development,
security and environment”.
For the editor
The International Finance Corporation is the private sector arm of the
World Bank Group and is headquartered in Washington, D.C. IFC coordinates
its activities with the other institutions of the World Bank Group but
is legally and financially independent. Its 178 member countries
provide its share capital and collectively determine its policies.
The mission of IFC is to promote sustainable private sector investment
in developing and transition countries, helping to reduce poverty and improve
people’s lives. IFC finances private sector investments in the developing
world, mobilizes capital in the international financial markets, helps
clients improve social and environmental sustainability, and pro-vides
technical assistance and advice to governments and businesses. From its
founding in 1956 through FY05, IFC has committed more than $49 billion
of its own funds and arranged $24 billion in syndications for 3,319 companies
in 140 developing countries. IFC’s worldwide committed portfolio as of
FY05 was $19.3 billion for its own account and $5.3 billion held for participants
in loan syndications. For more information, visit www.ifc.org.
Ukraine became a shareholder and a member of IFC in 1993. As of September
1, 2005, IFC has invested around $470 million in 22 projects. IFC expanded
its investment pro-gram in Ukraine significantly in 2004-2005, committing
$255 million in the agribusiness, financial, and general manufacturing
sectors. IFC has also been conducting an extensive advisory program since
1992, which initially focused on the privatization of small busi-nesses,
land, and idle construction sites. Current donor-funded programs offer
advice on corporate governance, leasing, and agribusiness. Programs also
seek to improve the busi-ness environment and promote the growth of small
and medium enterprises.