Cafe Soluble III

in implementation

The purpose of the project is to help enhance the Company’s overall competitiveness by upgrading its processing plant and management information systems and increasing its production and storage capacity in keeping with recent and projected growth. The IIC will make the following contributions:Provide long-term financing:Sources of long-term financing are scarce in Nicaragua. The transaction will complement a previous loan granted to CSSA by the IIC in 2001.Support a high value added industry:Producing ground and soluble coffee involves washing, roasting, and grinding green coffee beans to produce roasted ground coffee, and subsequently extracting liquor from the ground, roasted coffee, which is then dehydrated to produce soluble coffee. Nicaragua’s processed coffee exports have competitive advantages that make for ample growth potential.Strengthen a medium-size company:The project will help the Company adjust to its recent growth and reach its potential; this will protect many jobs.Generate foreign exchange:The Company has experienced significant growth during the last five years, entering into new export markets. The project is necessary to support future growth in sales and exports.Generate business for SMEs:the Company is a major buyer of packaging material and green coffee produced in Central America, mainly by small and medium-size companies in Nicaragua, El Salvador, and Guatemala.Promote best production practices:the Company has obtained ISO 9002 quality certification and has applied for food safety certification, which should boost its efforts to venture into new markets.