Company name
Global Commodities Trading Group S.A. (“Global”)
Project number
11979-01
Category B projects have potential environmental and/or social impacts and risks that are less adverse than those of a Category A and which are generally limited to the project site, largely reversible and can be mitigated via measures that are readily available and feasible to implement in the context of the operation.
E&S category
B
Country
Nicaragua
Sector
Agribusiness
Status
In implementation
Disclosed date
11/09/2016
Projected date at which a project will be put forward for the Board of Executive Directors’ approval.
Projected board date
12/09/2017
Approval date
03/21/2017
Signed date
10/27/2017
Sponsoring entity
N/A
Investment Operations Department Contact
N/A
Investment type
Syndicated amount
N/A
Financing amount
USD $ 4,000,000
Currency
USD
Project scope and objective
Global is a medium-sized producer, processor, trader, and exporter of some agricultural products such as peanuts, rice, beans, corn, and cucurbits, from various provinces of Nicaragua, such us León, Chinandega, Masaya and Granada, among others. In addition to own crops, the Company buys produce from third party suppliers, building direct relationships with suppliers and small farmer organizations. This will allow the Company to improve quality and quantity of produced commodity, introduce and scale sustainable farming practices, and have a positive effect on the livelihoods of smallholders and populations.
The loan to Global aims to provide long-term financing for the construction of a new industrial plant and relocate their actual peanut processing operations. It will also allow the company to consolidate and simplifies their logistics for some other products. The total estimated project cost is US$6 million to be invested during 2017 and 2018.
With the participation of IDB Invest, Global can access longer tenors, as well as an adequate grace period. This will not attempt to restrict their normal operation while performing the project. At the same time, IDB Invest will support a sector of high relevance in the Nicaraguan economy, being Global a medium size link for productive chains in various country regions.
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Contact information
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Client Contact
N/A
PHONE NUMBER
N/A
POST OFFICE ADDRESS
N/A
IDB Invest Contact
requestinformation@idbinvest.org
PHONE
+1(202)-566-4566
ADDRESS
1350 New York Ave NW, Washington, DC 20005
COUNTRY OFFICES
IDB Invest Country OfficesIndividuals or communities can submit complaints and concerns related to environmental, social, or corporate governance issues to the Management Grievance Mechanism by e-mailing mgm@iadb.org or by calling +1 202 312 4040.
As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or MICI@iadb.org or calling +1(292) 623-3952.
For inquiries, comments and information requests about the project
Request informationLearn more about how we provide private-sector solutions in the region .
Environmental and social review
IDB Invest conducts an environmental and social due diligence (ESDD) commensurate with the nature, scale, and stage of the project, and with its level of environmental and social risks and impacts. The ESDD will confirm the project E&S categorization and assess the project with respect to the client requirements in IDB Invest Environmental and Social Sustainability Policy. The results of the ESDD, including any identified gaps are described in the Environmental and Social Review Summary (ESRS) provided below. For projects approved as of 2016, any gaps with respect to IDB Invest's Environmental and Social Sustainability Policy at the time of the ESDD are addressed in the Environmental and Social Action Plan (ESAP) presented below, to comply with the date mentioned above.
ENVIRONMENTAL AND SOCIAL REVIEW SUMMARY
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