Narinji Fails to Process Citrus because of Financial Problems

Narinji fruit processing company, which is member of GMC Group is unable to process citrus in 2010 because of financial problems, Narinji director David Asanidze told GBC. The company owes 4 million USD to a commercial bank and has to serve the Cheap Credit program liabilities too. The company launched the loan service a month ago and has to pay 27 thousand GEL a month, he added.

The Narinji management has launched negotiations with investors to deal with the financial problems. The company discusses several variants of cooperation, including a franchise or the foundation of a joint company with a potential investor.

Turkish, Iranian and Israeli companies are considered to be presumable investors. No other details are divulged.

The Narinji management was conducting the same negotiations with Small Enterprise Assistance Funds (SEAF) American investment company at the beginning of 2009, but the parties failed to achieve an agreement.