IIC Supports A Rice Supply Chain Program In Uruguay With A US$5 Million A Loan And A US$5 Million B Loan
11/03/2004Washington, D.C. - On November 3, 2004, the Inter-American Investment Corporation (IIC) approved a US$5 million A loan and a US$5 million B loan to Sociedad Anónima Molinos Arroceros Nacionales (SAMAN) to finance the company's working capital. Financing from the IIC will enable SAMAN to provide small and medium rice growers with more funding at a better cost.
The transaction is part of the supply chain support program which seeks to increase the flow of funding to small and medium-size companies in Latin America and the Caribbean. One of the IIC's goals is to establish facilities for financing small and medium-size companies that supply large and medium-size companies through the channels that the latter use to purchase goods and services for their production processes. Through this project, the Corporation will provide financing to some 260 independent rice growers who sell their crop to SAMAN, which dries and stores the rice for subsequent processing and shipping. SAMAN markets nearly 90% of the rice on the export market. It also provides the growers with advice, sells irrigation services, finances supplies and fuel, and provides the growers with working capital financing. SAMAN was founded in 1942 as a small rice mill for the local market. It is now one of the top three exporters in the Uruguay and one of the biggest rice processors in Latin America.
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/Felipe Varela
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