FOR IMMEDIATE RELEASE July 18, 2002
Ken Murphy (202) 565-3200
Orgil International Greenhouses Corporation of San Diego, Calif., will build and ship four advanced greenhouse-growing systems to Cuauhtemoc, Mexico.The project will be facilitated by a five-year medium-term export credit insurance policy from the Export-Import Bank of the United States (Ex-Im Bank) to finance the $1.8 million transaction. The greenhouses will be used to grow high quality tomatoes, peppers and cucumbers.
This is great news for our local San Diego economy and for our suppliers around the country. We expect to hire more employees as a result of this approval. It will also assist Mexican farmers increase their growing productivity and food safety in an environmentally responsible way, said Joe Gelman, president of Orgil International Greenhouses.
Ex-Im Bank's export credit insurance covers the risk of nonpayment for U.S. companies selling products to Mexico or worldwide. The insurance policy can also be converted into cash immediately once goods are shipped. This guarantees that U.S. businesses are paid and allows them to offer competitive financing terms to their foreign customers.
With Ex-Im Bank's export credit insurance U.S. businesses can finance accounts receivables and offer foreign buyers terms that are usually much lower than the cost of financing available in their country and that helps make sales happen, Ex-Im Bank Board Member Dan Renberg said.
Fast turnaround is another advantage to Ex-Im Bank's export credit insurance. Orgil's export credit insurance financing request was approved within seven days after receiving the company's completed application.
Ex-Im Bank is a federal agency that moves at the speed of business. We understand how important it is to help businesses move quickly in today's competitive international market, Renberg said.
Ex-Im Bank is an independent federal government agency that helps finance U.S. exports, primarily to emerging markets, by providing loans, guarantees and export credit insurance. In fiscal year 2001, Ex-Im Bank authorized financing to support $12.5 billion of U.S. exports worldwide.