First EXIM term financing of U.S. exports to the private sector in Cambodia
FOR IMMEDIATE RELEASE May 24, 2018
Linda Formella (202-565-3204)
Washington, D.C. – SCAFCO Grain Systems Co., a small-business manufacturer of agricultural equipment in Spokane, Washington, is benefiting from buyer term financing from the Export-Import Bank of the United States (EXIM) to export a grain storage system to Cambodia.
The transaction is the first use of EXIM’s term financing for a buyer in the private sector in Cambodia. An EXIM guarantee is backing an approximately $345,400 loan from Atrafin LLC to Amru Rice (Cambodia) Co. Ltd., a processor and distributor of organic rice. The purchase of a 3,000-metric-ton storage system from SCAFCO will increase Amru Rice’s capacity to respond to both local and international demand.
Although Amru Rice could access funding from Cambodia’s government-owned bank, it was unable to obtain term financing from local commercial banks. EXIM’s guarantee enabled the company to obtain credit on longer repayment terms for the purchase from a U.S. supplier.
“EXIM is pleased to support this financing in the private sector in Cambodia. This transaction represents an expansion of the use of our products in this market and signals that EXIM is open and willing to assist Cambodian buyers seeking to buy American-produced goods and services on longer repayment terms,” said Ambassador Jeffrey D. Gerrish, EXIM’s acting president and chairman of the Board of Directors.
“We worked hard to win this sale. EXIM’s support not only helped us to seal this deal but also has generated new interest in U.S. manufactured equipment in Cambodia. And that’s good news for our employees in Washington,” said SCAFCO Chief Executive Officer Jim McDonald.
“Our initial underwriting assisted EXIM in considering this transaction without a local bank guarantee, and we applaud EXIM on this first financing in the private sector,” said Atrafin Chief Operating Officer Stephen Greene. “We are pleased to be able to support SCAFCO’s export sales and Amru Rice’s expansion of its business.”
Atrafin LLC is a commercial lender established in 2003 that has worked through EXIM’s master guarantee agreement since 2006 to provide financing for medium-sized foreign buyers interested in purchasing U.S.-manufactured equipment. Atrafin has financed U.S. exports to buyers in Central and South America, sub-Saharan Africa, and other emerging markets.
SCAFCO Grain Systems Co. is a small business that manufactures grain silos and other agricultural processing and storage equipment. The company has a staff of 60 employees at its manufacturing facility in Spokane and exports its products to more than 80 countries.
EXIM staff is working closely with the U.S. embassy in Phnom Penh on an upcoming trade mission in June to stimulate additional purchases of U.S. agricultural equipment and products.
ABOUT EXIM BANK:
EXIM is an independent and self-sustaining federal agency that provides competitive and necessary export credit to overseas purchasers of U.S. exports to promote and support American jobs. A robust and fully functioning EXIM can assist the United States in leveling the global playing field for U.S. exporters when they compete against foreign companies that receive the support of their national export credit agencies. EXIM also contributes to U.S. economic growth and the support of more than a million jobs through the support of thousands of small and medium-sized enterprises (SMEs) around the country. Since 2000, EXIM has provided $14.6 billion to the U.S. Treasury after paying for all of its administrative and program expenses.
For more information about EXIM, please visit www.exim.gov.