The Project “Technical Assistance to Support the Implementation of the “Ukraine Agri-Food APEX Loan” Operation” (Ukraine Agri-Food Value Chain Project or UAFATA) operates on two key levels:
- providing support and advice to the intermediary banks (including commercial banks and agricultural leasing companies) lending to small and medium-sized enterprises (SMEs) and Mid-Caps in the cereals, oilseeds and aquaculture/fishery sectors, and assisting in the identification, preparation of sub-loan application for financing, support defending the applications in participating banks, and implementation of investment projects related to:
- final beneficiaries (SMEs and Mid-Caps) on investment planning and loan applications.
UAFATA is developed specifically to secure long-term credit support for wide range of companies from value chains in cereals, oilseeds and aquaculture sectors. Therefore, all companies involved in operations in the mentioned fields are encouraged to apply for financing.
The basic criteria for potential projects/borrowers come from conditions of the Project “Ukraine Agri-food APEX Loan” and specific requirements of Ukrainian participating banks:
Ukrainian registered company successfully operating on the market for at least 1-year period. The company should be either profitable or, in case of negative result in a certain period, to be able to clearly justify the reasons for temporary difficulties (e.g. impact of weather conditions, corona-crisis, etc.)
Potential borrower might be producing, processing, transport/logistics or other company representing any particular element of the above-mentioned value chains
The program is tailored primarily for investment needs of Ukrainian businesses (silos construction, buying irrigation technologies, introduction or scaling of aquaculture projects, etc.)
Financing of permanent working capital expenditures for the periods of at least 2 years is also possible
For quick preliminary analysis the applicant presents its balance sheet and income statement for last 2 years and recent reporting period, and information on the amount, duration and purpose of the project. Agricultural producers are also requested to provide its statistical forms 21, 29, 50 for the same periods.
For investment projects own participation of the borrower at the level of appox. 30 % is required.
For the projects of EUR 3 mln and more – business-plan will be required after preliminary analysis
These sectors can apply for funding:
Ukraine Agri-Food Value Chain Project it is backed by donors willing to contribute meaningful Technical Assistance services. The consortium led by NIRAS A/S implements such services to secure that the loan funds are allocated and utilized in a timely, appropriate and efficient manner.