Great Value Energy Plc, a local recycling factory gains 27 million euro in loans for an expansion aimed to fulfill local demand and increase its export.
Great Value Energy Plc which has an extensive portfolio in; real estate, construction / construction project management, hotel complexes / resorts, food trade, agriculture, pharmaceutical industry, mining / raw materials, and a plastic recycling factory, through its management team stated that, “We will receive the 27 million euro loan and the value is ready on the account to be paid. Moreover, according to our agreements, the security deposit will have a maturity date of up to 5 years.”
Located in Sendafa, Oromia region, the company is producing 2,600 tons of household items per year from recycled plastics at the moment and will reach around 35,000 tons with the expansion by opening additional three recycling factories.
To help its expansion, the company has chosen European suppliers for the technologies, equipment and know-how for the supply, delivery, commissioning and training best quality in manufacturing improvement and business expansion.
“We are increasing our product range and our annual production capacity up to 35,000 tons. We are improving our product quality with European technology and adding amongst others, strategically important products, such as system relevant recycled raw materials, that are highly demanded in Europe and worldwide. In regards to our factory ́s expansion we signed the necessary foundational commitments,” said the management team.
As indicated by the management, currently the factory is awaiting a guarantee from the local commercial banks. “On our discussion, we have got positive answers from commercial banks through they have to get approval from the national bank, to which we also expect a positive feedback,” said the management.
As the management explains the buyers from Europe (Germany) have shown interest to buy the firm’s annual production contingents for three years with rolls on extension and are paying with regular payment terms.
“We are absolutely confident that our expansion plan will strengthen the economic environment, the foreign currency reserve as well as the people and the government of Ethiopia,” said the company in its statement sent to Capital.
At the same time it will effectively support solving a global plastic waste problem, in addition to improving plastic waste management in Ethiopia.