Ireland: EUR 35 million EIB backing for Carbery Group innovation and internationalisation
- Dec 2, 2019
The EIB has agreed to provide a EUR 35 million loan to enable expansion and diversification of the Ireland based facilities of Carbery Group, a leading international dairy, ingredients and flavours business. Carbery is 100% owned by four Irish dairy cooperatives. The first ever EIB financing for Carbery Group will support construction of a new EUR 78 million manufacturing plant at Ballineen, that will enable the company to diversify its range of cheeses and produce mozzarella for export to a range of international markets.
- EIB to support EUR 78 million Carbery Group investment to drive global expansion.
- New mozzarella production facility supports 1,200 Irish farmers
- First ever EIB loan for an Irish Agri Foods Group announced during visit to West Cork HQ
The European Investment Bank has agreed to provide a EUR 35 million loan to enable expansion and diversification of the Ireland based facilities of Carbery Group, a leading international dairy, ingredients and flavours business. Carbery is 100% owned by four Irish dairy cooperatives. The first ever EIB financing for Carbery Group will support construction of a new EUR 78 million manufacturing plant at Ballineen, that will enable the company to diversify its range of cheeses and produce mozzarella for export to a range of international markets.
The 12 year EIB loan to Carbery Group was formally agreed during a visit to the company’s West Cork headquarters by Andrew McDowell, Vice President of the European Investment Bank responsible for agriculture and lending operations in Ireland.
“Ireland is home to world class agriculture and food. The European Investment Bank is pleased to support new strategic investment by Carbery that demonstrates clear vision and resolve to continued international growth whilst addressing uncertainties related to Brexit. It has been a privilege to visit Ballineen to formally sign the new EUR 35 million EIB loan and see at first-hand how this financing will transform Carbery’s headquarters. Once complete, the new facility will significantly expand cheese production using milk from farms across West Cork. This long-term loan represents the first direct EIB support for investment in the Irish cooperative sector in 45 years and the first Irish investment under the EIB’s dedicated streamlined agriculture financing programme. Together with Carbery’s Irish banking partners the EIB is committed to supporting transformational investment in Irish agriculture and food that strengthens rural communities.” said Andrew McDowell, European Investment Bank Vice President.
“Our latest investment is key for harnessing new international export opportunities and diversifying our product range. The EUR 35 million EIB backing, together with continued funding support from our other banking partners AIB, BOI, and Rabobank, will accelerate growth for Carbery and secure new markets for Irish dairy farmers. That Carbery has secured the first ever European Investment Bank financing for an Irish Agri Foods business is a vote of confidence in Carbery and Irish agriculture.” said Jason Hawkins, Chief Executive Officer, Carbery Group.
First Irish project under streamlined European agriculture investment scheme
The EUR 35 million loan to Carbery Group is the first Irish investment financed under a EUR 400 million European Investment Bank streamlined agriculture and bioeconomy financing programme launched last year.
The agriculture and bioeconomy financing programme is guaranteed by the European Fund for Strategic Investments.
Expanding EIB financing for Irish agriculture
In recent years the EIB has supported new financing to expand availability of working capital and machinery leasing for Irish farmers, increased new forestry investment and backed agricultural research and innovation by leading Irish companies.
Unlocking transformational investment in Munster
New investment in Munster recently supported by the EIB include expansion of the Port of Cork at Ringaskiddy, a new dental school, increased student accommodation and improved research and teaching facilities at University Hospital Waterford, University Hospital Kerry and South Tipperary General Hospital.
Last year the European Investment Bank Group provided EUR 970 million for new investment across Ireland.
About Carbery Group:
Carbery Group is recognised as a leading international manufacturer of nutritional ingredients, flavours and as an award-winning cheese producer. Headquartered in Ballineen, Co. Cork, Ireland, it is owned by four Irish co-operatives, Bandon, Barryroe, Drinagh and Lisavaird, and employs 700 people. Carbery operates from nine locations including Ireland, the UK, Italy, the USA, Brazil and Thailand.