On 27 May 2021, IFC and EBRD signed an Agreement on financing the Indorama Agro Project, via videoconference.

The event was attended by the Deputy Prime Minister, Minister of Investments and Foreign Trade of Uzbekistan Sardor Umurzakov, EBRD First Vice President Jürgen Rigterink, IFC Regional Vice President Georgina Baker and Founder and Group CEO of Indorama Ventures PCL Aloke Lohia.

The project is aimed at promoting sustainable cotton production and improving living standards in Uzbekistan. New investments in Uzbekistan’s cotton sector will further develop a sustainable private sector development model and modernize the industry, while improving the living conditions of farmers in the cotton supply chain and providing them with access to new skills and technologies.

The implementation of the project will contribute to the development of mechanized cotton harvesting and significantly improve the company's environmental and production indicators by leveling the terrain and using alternative irrigation systems to optimize water use, effectively apply fertilizers, modernize water supply and reclamation systems, and improve the quality of grown cotton processing.

It was noted that the implementation of this project will become an impetus for attracting foreign direct investment from large foreign and multinational companies, and its support by such international financial institutions as IFC and EBRD is a recognition of the success of the ongoing reforms in the textile industry of Uzbekistan, implying the introduction of best international practices in cotton cultivation and the creation of an effective mechanism for protecting labor rights in this area.

It was also emphasized that the company will further grow cotton and other crops under international standards and requirements of world brands.

Following the event, the parties outlined further plans to enhance cooperation in private sector financing in Uzbekistan.

UzA