Frankfurt am Main (ots) -
- Bilateral loan of EUR 51 million
- SMEs deliver special equipment for environmentally friendly
- Recycling: wood chips processed into various particle board
KfW IPEX-Bank is using a loan worth EUR 51m to finance the export of special equipment to South America for the environmentally friendly production of particle boards. Brazilian-based Berneck S.A. Painéis e Serrados (Berneck) is the borrower and the company ordering the equipment, which is supplied by various small and medium-sized enterprises from Germany and other parts of Europe. The funds come with an export credit guarantee by the German Federal Government (covered by Hermes).
"The Brazilian economy continues to grow, and with it, opportunities for German and European special equipment manufacturers to boost their unit sales", said Markus Scheer, member of the Management Board of KfW IPEX-Bank. "We are financing investments in modern equipment for our long-standing customer Berneck. With the new machines the company will be able to significantly increase its environmentally friendly production." Even the first production facility for particle boards from 2001 can be traced back to financing from KfW.
Berneck has been active in the Brazilian wood processing and production market more than 60 years. The family-owned company initially started off as a pure saw mill business and has grown to become the country's second-largest particle board manufacturer. The export of machines from SMEs currently being financed by KfW IPEX-Bank is now expected to help further expand production at the Curitibanos site in the south of Brazil. This is where Berneck produces various particle board materials, largely using waste from its own saw mills.
Some expect considerable growth potential from the Brazilian furniture market: The Brazilian government has created the state-funded "Minha Casa, Minha Vida, Minha Casa Melhor" housing construction aid programme, especially for the poorer parts of the population. In doing so, it has made loans available at cheaper rates for home financing as well as for outfitting such homes with furniture. As a result, the furniture industry anticipates stronger demand for particle boards, one of the most important basic materials in the segment.
About KfW IPEX-Bank GmbH
Within the KfW Group, KfW IPEX-Bank is responsible for international project and export finance. Its function of providing financing to boost the German and European economy is derived from the legal mandate assigned to KfW. It offers medium- and long-term financing to support key export industries, to develop economic and social infrastructure and to fund environmental and climate protection projects. KfW IPEX-Bank operates as a legally independent group subsidiary and plays a major role in fulfilling KfW's promotional mission. It is represented in the most important economic and financial centres across the globe. To support its business operations in South America, KfW IPEX-Bank has maintained a representative office in São Paulo, Brazil's main economic hub, since 2002.
KfW IPEX-Bank GmbH, Palmengartenstraße 5-9, 60325 Frankfurt Original content of: KfW IPEX-Bank, transmitted by news aktuell
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