Print this pagePrint

Press Release

Friday, May 8, 2009

U.S. Small Business Uses Second OPIC Loan to Expand Dairy Facility in Georgia

 WASHINGTON, D.C. – A U.S. small business will use a loan from the Overseas Private Investment Corporation (OPIC) to expand manufacturing operations at the largest producer of dairy and juice products in Georgia, establishing new milk collection centers, upgrading equipment for production lines, and improving its distribution network. The same business used a 2006 OPIC loan for a similar technology upgrade which benefited both the company and the dairy industry in Georgia.

 OPIC will provide a $10 million loan to Sante GMT for the expansion of its dairy manufacturing and juice packaging facility in Tbilisi. The company will use the loan to establish additional new milk collection centers, upgrade the distribution vehicle fleet, add equipment for production of premium butter, processed cheese, and bio-products, and a new packing line for juice packaging. The milk collection centers in particular will enable the company to produce a fuller range of dairy products utilizing all of the byproducts such as skimmed milk, fat and whey left from natural milk processing. Sante GMT is owned in part by five U.S. investors.

In November 2006, OPIC approved a $4 million loan for Sante GMT, proceeds of which were used to establish ten new milk collection centers – organized in towns where milk is delivered by farmers and sold directly to Sante GMT – and to add equipment and vehicles. Existing milk collection centers have generated income for around 1,000 families in different parts of Georgia. Expanding existing and adding new milk collection centers are expected to double the number of beneficiary families. Sante GMT is current on its obligations to OPIC.

“OPIC’s first loan to Sante GMT generated important advances for the dairy industry in Georgia, which are reflected in the project’s success,” said OPIC Acting President Dr. Lawrence Spinelli. “OPIC is pleased to support the further growth of a company which is providing valuable developmental benefits to Georgia.”
 


OPIC was established as an agency of the U.S. government in 1971. It helps U.S. businesses invest overseas, fosters economic development in new and emerging markets, complements the private sector in managing risks associated with foreign direct investment, and supports U.S. foreign policy. Because OPIC charges market-based fees for its products, it operates on a self-sustaining basis at no net cost to taxpayers.

 

OPIC’s political risk insurance and financing help U.S. businesses of all sizes invest in more than 150 emerging markets and developing nations worldwide. Over the agency's 38-year history, OPIC has supported $188 billion worth of investments that have helped developing countries to generate over 830,000 host-country jobs. OPIC projects have also generated $72 billion in U.S. exports and supported more than 273,000 American jobs.