The project – supported with an USD 60 million loan from the European Bank for Reconstruction and Development (EBRD) to support key infrastructure and develop grain export potential in Ukraine – will be implemented jointly with Louis Dreyfus Commodities, a global leader in agribusiness, according to an agreement signed by the two companies, which intends to establish a joint venture for the development and management of the terminal and related activities.
In addition to addressing the shortage of modern, deep-water port grain trans-shipment capacity in Ukraine, the terminal will benefit the region by creating jobs and increasing economic activity in the Port of Odessa area.
Due to record grain harvests in Ukraine in recent years (around 60 million tonnes in 2013) the country is becoming an important global grain supplier.
“We know how important the agribusiness sector is for the economy of this country. The Bank is very pleased to support this venture, which is the product of a partnership between a major international commodity trader and a leading local stevedoring operator. It demonstrates that foreign and local investors have confidence in the sector and in Ukraine,” said Sevki Acuner, EBRD Director for Ukraine.
“The project has both regional and national significance. This investment will strengthen Odessa’s position as a major grain handling hub and support economic growth in Ukraine. It is part of the EBRD’s strategy to support integrated transport solutions in the countries where we work,” said Sue Barrett, EBRD Director – Transport.