The European Bank for Reconstruction and Development (EBRD) is investing in the modernisation of the Jordanian poultry sector with a €19 million loan to local producer Al Jazeera Agricultural Company PSC.
The financing for Al Jazeera, one of the leading integrated poultry producers in the country, will provide working capital and also support the company’s expansion plans, including the construction of a new grain mill and investments in energy efficiency.
The energy efficiency investments will reduce Al Jazeera’s fuel consumption for farmhouse heating by at least 20% with the support of a US$ 180,000 grant under the EBRD’s FINTECC (Finance and Technology Transfer Centre for Climate Change) programme.
In the case of the Al Jazeera investment, the company will be introducing high-efficiency heating systems fitted with integrated heat recovery systems which will reduce the use of diesel and provide more efficient heating and ventilation, while at the same time reducing operational costs.
Philip Bennett, the EBRD vice president, said: “We are very pleased to sign our first agribusiness project in the country; to support a strong, local company helping to set quality standards and improve food security in Jordan. In addition, through this investment the Bank will contribute to increasing employment opportunities and economic growth in rural areas.”
This is also the first EBRD project supported by FINTECC in the southern and eastern Mediterranean region. Terry McCallion, director of the EBRD’s Energy Efficiency and Climate Change team said: “There is an increasing demand in the region for cost-effective energy efficiency solutions. We designed FINTECC to accelerate the deployment of advanced resource efficiency technologies and to support the development of their supply chains. This investment will act as a regional demonstrator of the cost and environmental savings that are possible through installation of the right technologies.”