Translated version of this PSD: Russian
The Project will finance the construction of a modern warehouse facility in the Samarkand region, Uzbekistan, as well as working capital of Agromir Juice JV LLP (the "Company"). The Project will help introduce a unified warehouse management system, which will enhance control over inventory.
The Project will provide the necessary operational efficiency for the Company, as it (i) needs to ensure sufficient stock during peak sales period, and (ii) sufficient working capital to support its growing operations and facilitate better access to both local and imported raw materials.
The transition impact of the Project is expected to derive from its contribution to the competitive and well-governed qualities, namely supporting the Company to:
(i) improve the efficiency of its operations, lowering losses related to storage and inventory management, cost savings on logistics, as well as (ii) improvee its corporate governance standards, namely through the introduction and maintenance of financial reporting in line with IFRS, as well as compliance with the high environmental performance requirements and implementation of a targeted environmental and social action plan.
AGROMIR JUICE JV LLC
Agromir Juice JV LLC is an Uzbekistan-based producer of juices, juice concentrates, vegetable paste and other products. The Company is one of the leading juice producers in Uzbekistan.
EBRD Finance Summary
Total Project Cost
Environmental and Social Summary
Categorised B (2014 ESP). The Environmental and Social risks associated with the Project are site-specific, readily identifiable, and can be mitigated through the implementation of a targeted environmental and social action plan (ESAP).
Environmental and Social Due Diligence is currently ongoing and includes the review of the completed ESDD questionnaire and a site visit to the factory in Samarkand conducted by the EBRD's staff.
Issues of focus include labour and supply chain management, in particular as it relates to forced and child labour, management of food hygiene, occupational health and safety and waste management.
An ESAP will be developed and agreed with the Company to structure existing operations in line with the PRs before the Board meeting.
The PSD will be updated after the results of the ESDD.
The cost of the energy efficiency audit was partially covered by the EBRD Shareholders Special Fund.
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