IIC Signs A US$7 Million Loan Agreement With Exportadora Subsole S.A. In Chile

10/02/2002

IIC financing for Subsole will create some 7,500 temporary jobs per year starting in 2005.

Santiago, Chile -The Inter-American Investment Corporation (IIC) signed yesterday a long-term, US$7million loan agreement with Exportadora Subsole S.A., a Chilean company with integrated fruit growing and marketing operations. Subsole's main export product is table grapes, chiefly for the U.S. and European markets. The growers that partner with Subsole handle the agricultural area, and Subsole organizes the growers, transfers technology, advises them on agricultural and business matters, and deals with international fruit buyers. Subsole's advice enables the smaller growers to sell high-quality products that meet international standards.

Subsole will use the proceeds from the long-term loan to financing planting by fourteen small growers who supply the company with fruit, thus increasing their production volume. The project will also enable Subsole to increase its own volume of exports. Subsole is the first financing project for a company that underwent the selection and diagnostic review process under the Finpyme methodology, an innovative program for evaluating small and medium-size companies in Latin America and the Caribbean.

The agreement was signed on October 2, 2002 in Santiago, Chile, by Mr. Miguel Allamand Zavala, President of Exportadora Subsole S.A., and Mr. Jacques Rogozinski, General Manager of the IIC.

The Inter-American Investment Corporation is a multilateral financial institution that is part of the Inter-American Development Bank Group. It provides financing (in the form of equity investments, loans, guarantees, and other instruments) and advisory services to private enterprises in Latin America and the Caribbean. The IIC's mission is to promote the economic development of its regional borrowing member countries by stimulating the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size.

Contact: Steven Reed

Telephone: (202) 623-3981

Email: stevenr@iadb.org