The European Bank for Reconstruction and Development has developed plans to lend US$45m to the Dnipropetrovsk Oil Extraction Plant, the key Ukrainian producer of branded bottled refined sunflower oil. The money will allow the company to buy raw materials and bank working capital.

Dnipropetrovsk is majority owned by Cereol, one of the largest edible oil companies worldwide; the Ukraine plant has strong market positions in its home country and in Russia. An EBRD note said that the money would help the improvement of technical production, the development of new products and boost knowledge of efficient seed purchases. Generally, the memorandum said that it wanted to support Ukraine food production, which is considers “underdeveloped.”

By Keith Nuthall, correspondent