International Finance Corporation (IFC), a member of the World Bank Group, is investing in Matco Rice Processing, Pakistan's leading basmati rice exporter, to help the company expand its production capacity and increase exports, supporting trade and spurring economic growth.
The IFC will make a five million dollars equity investment in Matco, which the firm will use to boost production at its plant in the village of Sadhoke, Gujranwala. Matco will buy high-quality paddy rice directly from the farmers in the Gujranwala area, the largest basmati rice producing district in Pakistan, which would help improve the efficiency of the local supply chain and reduce losses due to spoilage. The IFC Investment will also help Matco increase its trade and export operations and generate new employment opportunities in the region.
"Our partnership with IFC will help Matco achieve new heights in exporting, earning valuable foreign currency for the country," said Jawed Ali Ghori, Managing Director of Matco, adding the move would also help the transition of Matco from a family owned company to a publicly listed company and make the planned initial public offering more appealing to potential investors."
Pakistan is one of only two counties in the world that produce basmati rice and the annual harvest of the aromatic variety of the grain reaches 2.5 million tons. Pakistan is also the fourth largest exporter of rice, which accounts for 13 percent of the country's total exports.-PR