American firm sets up can-making plant in Morocco
The Denver-based trading company Yasmine Enterprises Inc. will construct a $38-million can-manufacturing plant for the food industry in the Agadir region of the Moroccan kingdom. The can-making plant is scheduled to commence production by yearend 2003.
The project’s costs are to be financed with 60 percent debt and 40 percent equity. Half of the equity will come from Moroccan food processors (offtakers) and the remaining half will be offered to international investors. Yasmine Enterprises would also have equity in the plant,
The plant will supply some 600 million cans per year, at peak production. Up to 50 percent of the output will go to the local offtakers who sponsor the project and hold an equity stake, while the remainder will be sold to other domestic food processors and exported to other North African countries and the European Union (EU).
This is the first Moroccan-US joint project materializing after King Mohammed’s visit to the US, following which talks on the conclusion of a Moroccan-American free trade accord were launched. — (menareport.com)
© 2002 Mena Report (www.menareport.com)