Trans-Oil Grain Commodity Facility

Location:

Moldova

Project number:

45516

Business sector:

Agribusiness

Notice type:

Private

Environmental category:

C

Target board date:

23 Jul 2013

Status:

Complete

PSD disclosed:

20 Jun 2013

Translated version of this PSD: Moldavian

Project Description

The EBRD is considering a working capital (WC) facility of up to USD 25m for Trans-Oil Group in Moldova to support the consolidation and further expansion of soft commodity trading and edible oil production activities of the company.

Transition Impact

Transition impact will derive from:

(i) market expansion through backward linkages to local farmers;
(ii) skills and transfer knowledge
(iii) demonstration of international procurement standards in Moldova.

The Client

Trans-Oil Group (“Trans-Oil” or the “Group”), the largest soft commodity trader and edible oil producer in Moldova.
The group operates an extensive network of grain warehouses, oilseed crushing facilities and a grain port terminal on the Danube.

EBRD Finance

USD 25 million, revolving working capital facility secured by agricultural commodities.

Project Cost

USD 45 million.

Environmental Impact

Categorised C. The use of working capital finance for the purchase of soft commodities is not associated with significant environmental and social impacts. In the context of the recently proposed equity investment in the Company the EBRD conducted comprehensive environmental and social due diligence utilising independent specialist consultants.

Through this study a number of a number of E&S issues were identified and an E&S Action Plan (ESAP) prepared and agreed with the Client. The ESAP includes measures on establishing adequate environmental, health and safety management systems, improvements of corporate CSR and HR policies and practices, grievance mechanism for workers and third parties, hazardous materials handling, food hygiene and quality testing.

The Company also agreed to apply the recommendations of a dust explosion assessment carried out separately by other technical consultants. The ESAP remains valid for this project and will be ported across to the new agreements with the Company. The Company will be required to comply with the Bank's PRs provide annual reporting on environmental and social issues and progress made in implementing the ESAP

Technical Cooperation

None.

Company Contact

Vladimir Savic, savicv@ebrd.com

 

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

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Text of the PIP

Project Complaint Mechanism (PCM)

The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.

Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (pcm@ebrd.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.