Unicredit is making one billion euros available for the two-year period 2014-2015 to support companies in the agricultural sector. The funds will come through a series of financial instruments, including the 600 million euro Agribond. The Bank signed today in Verona, within the context of the Fieragricola, an agreement with Sgfa-Ismea and with the main trade associations of the sector: Coldiretti, Confagricoltura and Cia.
“Agriculture is, on a global level, one of the sectors characterized by the best prospects for the future, thanks to growing demand and the relative stability of prices – said Federico Ghizzoni, CEO of Unicredit -. However, to remain competitive on the complex global scenario, Italian agricultural businesses need to know how to innovate. Even in this sector, Made in Italy is perceived as a distinctive factor and synonymous with quality, but investments are needed at all levels (production, marketing) to fully exploit this advantage. With Unicredit for Agriculture we intend to provide the necessary financial instruments so that entrepreneurs in the sector can fully seize all the opportunities that national and international markets will offer".
Agriculture involves 780 companies throughout the national territory and constitutes the backbone of Made in Italy agri-food, which is worth around 250 billion and exports around the world for a value of almost 35 billion.
The Agribond developed by Piazza Cordusio provides for the guarantee intervention of the Agri-food Fund Management Company (Sgfa), a public body referring to Ismea (Institute of Services for the Agricultural and Food Market). The new loans, with a duration of 6 years, will be used to support medium-term investments by Italian agricultural enterprises.
Furthermore, alongside traditional products such as the Long-Term Advance of the CAP (a total of 27 billion euro made available through the contributions envisaged by the common agricultural policy recently approved by the EU, of which around 8 billion for the two-year period 2014/15) and the Anticipating the contributions from the Rural Development Plans (public contributions for around 2,5 billion a year, currently used for only 55% of the total), a new offer will be active dedicated to the Top Buyers of the sector and their respective supply chains.
With the revolving Supercash actions for the advance of invoices and contracts to buyers and Reverse Factoring for the disinvestment of receivables due from suppliers, two new levers will be made available capable of introducing immediately available financial resources into the agricultural system.
