The EBRD is lending $4 million to Imkon Plus Private Production Firm, an ice cream producer in Uzbekistan, to help the company increase production capacity and improve its regional distribution network.
Imkon produces over 50 types of ice-cream and holds over 20 per cent of the market. With average ice-cream consumption in Uzbekistan of less than 1kg per capita, compared to 3 kg in Russia and 5 kg in eastern Europe, the sector has considerable growth potential.
The EBRD loan will support company’s strategy to diversify the range and improve the quality of produced ice-cream as well as to expand its distribution network.
The proceeds of the loan will be used to purchase a new modern ice-cream production line and high-quality raw materials.
In addition, as part of the project, Imkon will acquire 2,000 new refrigerators to strengthen its distribution network and improve presence in retail outlets across the country.
“This transaction is a continuation of the EBRD’s relationship with Imkon and we are pleased to support the company’s development strategy in the current challenging market conditions,” said Masaru Honma, EBRD Director for Central Asia.
Previously the EBRD has supported the Imkon with a $2.6 million long term loan.
Since the beginning of its operations in Uzbekistan, the EBRD has invested about €550 million into more than 50 projects in various sectors of the country’s economy.
To date the EBRD has invested more than €5 billion in over 360 agribusiness projects in countries of its operations.