IIC Approves Financing For Frigorífico La Cantera Copiapó S.A. In Chile
10/21/2008The IIC loan will support Chile’s export sector
Washington, D.C. – On October 21, 2008, the Inter-American Investment Corporation (IIC) approved a loan of up to US$1 million to Frigorífico La Cantera Copiapó S.A. (Frigorífico Copiapó). The company was created by fruit exporter Exportadora Subsole S.A., which ranks seventh among Chile’s fruit exporters. The loan will be used to provide cold storage services for boxes of table grapes.
The project consists of building a cold-storage facility in the Copiapó area. The facility will have the capacity to store 800,000 boxes of table grapes and will create at least fifteen jobs per shift, plus the employment generated during construction.
According to Ana María Orellana, investment officer in charge of the project, "Cold storage is key for handling fruit because it ensures food safety as well as a profit for exporters and the growers who supply them. Grape varieties from the Atacama region are exported mainly during the four-month period between November and February. They are the first of the season and command the highest prices. For this product it is therefore crucial that producers have access to cold storage services."
However, medium- and long-term dollar-denominated financing is limited in Chile. The long-term loan offered by the IIC is expected to provide better quality cold storage in the area and reduce the shortage of such facilities. This will result in a better product for the end consumer.
The Inter-American Investment Corporation is a multilateral financial institution that is a member of the Inter-American Development Bank (IDB) 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. In 2007, the IIC reached US$1.2 billion in assets and approved 62 transactions channeling US$470 million to SMEs in the region. The IIC’s mission is to promote the economic development of its regional member countries by encouraging the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size. For more information on the IIC’s activities, please visit www.iic.int.
Contact: Ana María Orellana (in Chile)
Telephone: + (562) 431-3707