Date: February 09, 2018 Eternopicco Private Limited Company greets you and offers to consider a proposal for mutually beneficial cooperation. Due to the activity diversification, the Company is developing new areas in the agricultural sector of the economy. Interaction with leading industrial and construction enterprises determines the possibility of the introduction and application of latest developments in the construction of high-tech logistics agribusiness. For further development of productive and economic relations, in the Republic of Uzbekistan in 2013 created the Foreign Enterprise "Stepova-Group" with registered capital of 265 000 US dollars. The company's goal is: to build a modern agro-industrial logistics holding company, which includes logistics refrigeration complex storage capacity to 11,000 pallets; greenhouse complex on the land area of 22 hectares for year-round cultivation of fruits and vegetables for export and the domestic market. The main partners in the creation of the project are leading engineering companies Dalsem Corporation and Celtic Cooling (Netherlands). It is assumed 22 hectares of land area of greenhouse complex to be allocated for growing tomatoes. It is planned the implementation of a line of deep-frozen fresh fruits and vegetables (shock freezing) for packaging on ready-made vegetable and fruit mixes on export sales. It is planned the creation of concentrate pure, and juice production lines from fresh fruits and vegetables, fruits and vegetables drying line, IQF processing line for fruits and vegetables, Fresh fruits processing lines, canning line for vegetables. The construction of the agro-industrial logistics complex will be carried out in Syrdarya region of Uzbekistan on the land area of 40 hectares. The land plot is provided on unpaid rent from the State for a period of 49 years. According to the Decree of the President of the Republic of Uzbekistan No. PP-2505 of 05.03.2016. "About measures for further development of a source of raw materials, deepening of processing of fruit and vegetable and meat and dairy products, increase in production and export of foodstuff in 2016-2020", "Stepova- Group Company is included in the list of investment projects of production of main agricultural products. Privileges are provided by item 5 of the Resolution of Cabinet Council No.105 dd 07.04.2011 "About measures for development and strengthening of material and technical resources of storage of fruit and vegetable products for the period 2011-2015 and extend to the enterprise till 01.01.2021, including tax exemption on the period till 10 years. Strategic purpose of the project: o creation of large-scale modern logistic center; o gain a reputation as the most authoritative company in the geographical region offering the exhaustive range of services; o obtaining of high-quality, export-oriented, competitive products for selling in the internal and external markets; o uninterrupted providing population with main types of agricultural products o profit making, including an export currency earnings, from results of productive activity and sale of agricultural products; o the organization and providing of new workers in the industry for enterprise rural residents, solving of their social problems. Plan of achievement of purpose: o construction of a greenhouse complex with an engineering and technological equipment "turnkey"; o establishment of the modern enterprise providing working capacity and a full load of capacities of logistic refrigeration warehouse complex; o acquisition, supply of main and auxiliary materials for production (seeds, fertilizers and so forth); o the deployment, recruitment and personnel training; o start of production and exit to design capacity of a greenhouse complex; services of a refrigerating complex o create positive image, to gain a foothold in the market and to increase the volume of services
Investment Plan The name of the investment Total US Dollars Buildings and constructions Allocation by Administration of the Syrdarya region of land plot of 40 hectares for 1 the construction of the complex Construction, installation and commissioning of equipment 2 (10% of the total cost of equipment) Total construction, installation, commissioning of the equipment - - Technological equipment (Supply on conditions of CIP Tashkent, Incoterms-2010) 1 Technological equipment for industrial greenhouses on 22 hectares of land area 56 390 000 2 Technological equipment for refrigerated warehouse of 11000 pallets on land area 9 360 000 of 5 hectares Several processing lines for fruits and vegetables: Fruits and vegetables drying line: 4 200 000 USD 3 Concentrate, pure, and juice production lines: 4 800 000 USD 16 200 000 IQF processing line for fruits and vegetables: 3 000 000 USD Fresh fruits processing lines: 960 000 USD Canning line for vegetables: 3 240 000 USD Total manufacturing equipment 81 950 000 The structure of investments, % 100 81 950 000 Project implementation schedule: Stage name 2018 2019 2020 2021 2022 2023 I II III IV I II III IV I II III IV 1 Obtaining financing for project implementation 2 Transfer of the land plot for construction of agro-industrial complex 3 Approval and obtaining allowing documentation 4 Preparation of necessary design estimates 5 Сonclusion of contracts on equipment supply 6 Delivery of technological equipment 7 Construction and installation of technological equipment 8 Start of a greenhouse complex, loading of capacities and product sales for export 9 Start of a logistic complex, exit to design capacity 10 Return of borrowing facilities
Within this project the company is going to perform a business activity according to the following scheme: Cultivation of vegetables, fruit, salad greens, marrow and melon cultures Services in storage of products for wholesale consumers Storage of own grown-up products Delivery of fruit and vegetable products to wholesale consumers for export and domestic market Shock freezing of fruit and vegetable products, packaging on ready-made mixes of fruit and vegetable products for supply on export Production of concentrates from fresh vegetables and fruit for supply on export The specificity and uniqueness of technological process assumes the availability of qualified specialists that in turn, will enhance educational level of Company s personnel. In addition, implementation of this project will allow to master advanced technologies of cultivation and storage of vegetables and fruit, as well as promising practice management marketing and promotion of products on the market.
The project does not demand additional environmental assessment, as the applied technology provides respect for all required environmental standards. As a priority of development is the concept of using innovation technologies directed to increase productivity, energy- and material-efficiency, increase in competitiveness and decrease in harmful loads of an ecosystem. This activity is safe for the environment and will take place in strict accordance with rules and laws of the Republic of Uzbekistan. The project is completely consistent with the strategic goals and objectives of socio-economic development of the Republic of Uzbekistan. The organization of modern greenhouse facility will allow to provide the consumers with qualitative agricultural products at any time of the year, thereby considerably improving quality and standard of living of potential consumers.
Fruit Сherry Abricot Apples Peach Pear Plum Figs Grapes
Berries Raspberry Currants Strawberry Lime and lemon Melon Watermelon Vegetables Tomatoes Cucumbers Cabbage Broccoli Cauliflower Brussels Sprouts Bell Pepper Chili Pepper Eggplant Zucchini Red Cabbage
Greens Lettuce Iceberg Lettuce Parsley Dill Cilantro Basil Onions Garlic Arugula Spinach Location of facility both its characteristics and main premises of efficiency of the project The land plot of 40 hectares, for accommodate an agro-industrial complex is suitable for target use. Assigning an object, from an environmental point of view, corresponds to established mode of business activities, set for this territory. The planned activity is not related with the treatment of dangerous substances and wastes. Placement of an object does not demand transfer of lands, allocated under construction, from one category in another and accomplishment of actions for recovery of natural resources. Chain stores and institutions of public catering experienced the demand for fresh and quality products. Yearround functioning greenhouse complex will allow to receive the considerable income throughout the year. In this regard, an analysis was conducted of effectiveness of the organization of greenhouse complex in conjunction with refrigerated warehouse for quality long-term storage, as well as the organization of production shock freezing perishable vegetables, fruits and melons. Profitability is high, fast payback, and that's not all the benefits of the agro-industrial logistics complex. Investment of resources into this project is reliable as risks are minimum: o the service is not new; o the service is demanded; o shortage of capacities for long-term storage of fruit and vegetable products o expansion in consumption of agricultural products o expansion of export potential o an extensive state support o lack of the competition in the region of the latest technology developments
The risks connected with operation Type of risk Absenteeism on design capacity Production of inappropriate quality Unsatisfactory management Service (products) does not find sale Financing rise in price Need for additional purchases Inflation of costs Transport risks Environmental risks Force majeure Probability of emergence Average Average Average Risks arising during the implementation phase of capital investment Type of risk Default on obligations by suppliers Untimely supply of equipment Exceeding of the project settlement cost Force majeure, material damage Probability of emergence The main risks of investment project implementation are Type of risk Changes in legislation in the agricultural industry Increase of inflation rate Increase value addition of the material resources Reduction of prices Probability of emergence Average «Stepova-Group» Company the founder which is «Eternopicco» Company, has complete state support from the Government of the Republic of Uzbekistan. We kindly ask you to assist in attraction of financing for our company in the Republic of Singapore a credit line of 82 000 000 US dollars for investment project. In case of your interest, we will consider any offers on cooperation on mutually advantageous conditions. CEO Syshchikov Iurii