Announcement of First IFC Investment in Haiti Helps Finance Integrated Poultry Project on June 23, 1982

IFC Press Release No. 82/32 Wednesday, June 23, 1982 First IFC Investment in Haiti Helps Finance Integrated Poultry Project The International Finance Corporation (IFC) is making its first investment in Haiti by providing $1.7 million in loan and equity for an approximately $5.9 million integrated poultry project which will produce 1.8 million broilers a year for the domestic market. The venture is sponsored by the Brandt Group, a major Haitian busi- ness group, and Guy Riviere, local entrepreneur. The project will be implemented by Promoteur et Investisseurs Associes S.A. (PRINSA). The sponsors are investing $495,000 in PRINSA's equity; the Venezuelan Investment Fund, $450,000; and IFC, an international development organization that assists the private sector, $150,000. An additional $660,000 will be taken up by the sponsors and other Haitian investors. The Royal Bank of Canada is lending $1.65 million for the project; IFC, $1.35 million; and the Banque de l'Union Haitienne S.A., $400,000. Some $700,000 in cash generation completes the financial plan. PRINSA will generate estimated foreign exchange savings of approximately $500,000 a year and create 170 direct jobs. It will also benefit the country by making addi- tional protein available to a large segment of the population. In addition, it is expected that technical and operating efficiencies will permit the Company to reduce domestic poultry prices. The venture includes a hatchery, broiler farm, processing plant, feed-mixing plant and modern marketing facilities based on a high-volume, low-margin strategy. The Company aims at reaching broad sections of the Haitian public by selling live chickens, packaged chickens, and chicken parts through small grocery stores and supermarkets. PRINSA is expected to help modernize the Haitian poultry sector by introducing modern techniques and quality improvements. Moreover, the Company is cooperating with Government development agencies to promote and organize an assistance program for existing and future small poultry growers. In addition to its financing, IFC supported the project by providing technical and project design ad.ice, assisting in managerial and organizational arrangements and helping strictirc ; suitable financial plan. (Any inquiries strictly relating to IFC's participation in this project should be directed to the IFC Information Office, 1818 H Street, N.W., ashington, D.C. 2033, Telenhone [2021 676-0394).