VDB to give US$15.7m to Indian sugar factory
Vietnam Development Bank (VDB) will lend VND330 billion (US$15.7 million) for a project to increase the capacity of KCP Vietnam Industries Limited (KCP VIL) in central Phu Yen province.
The loan will help increase the processing capacity of Son Hoa Sugar Factory from 5,000 tonnes to 10,000 tonnes of sugarcane per day by 2018.
It will also help reduce the time needed to cultivate sugarcane from five or six months to 120 days.
K V S R Subbaiah, general director of KCP VIL, said the company has developed 17,000 hectares of sugarcane farms in the districts of Son Hoa, Phu Hoa, Dong Xuan and Song Cau.
He said the company had also invested in biofertilizer, ethanol and power factories to use the by-products of sugar production.
The wholly foreign invested company from India, with a total investment of US$42 million, started operating in the province in 2001 with an initial capacity to process 2,500 tonnes of sugarcane per day for making export-quality refined sugar and white sugar.
As scheduled, the expansion and the increase in production capacity of the factory will take place in Cung Son and Son Ha communes of Son Hoa District during the 2015-2016 and 2017-2018 periods.