Experience of Rabobank.pptVIP

29 October 2004 Insert your business descriptor here 29 October 2004 Insert your presentation title here Rabobank Experience of Rabobank Rabobank Agri-commodity finance Financing the storage and global trade flows of agri-commodities Focus on: The large international trading companies The key local integrated exporters in emerging markets Goal: to cover the full agri-commodity chain (link a with b) Most important financial products: Stock financing (based on warehouse receipts and pledges) Transactional trade flow finance (based on shipping documents) Ownership based finance (keeping the goods in ownership of the bank via special Rabobank Trade Vehicle) Borrowing Base financing (financing various classes of current assets)  SWOT Kazakh Grain Sector Our experience in Kazakhstan We started trade financing under the EBRD WRP program in 2001 FCC was first client in 2003/04 Gradually building up portfolio of private grain integrators Minimum transparency required: IFRS audited financials Security: pledge on grain/WRs + inspections by SGS Grip on cash flows (collection account pledged to Rabobank) Additional security via assignment of export contracts Focus is on tenors up to 1 year. Conclusions Kazakhstan has some unique competitive advantages: High wheat quality Integrated sector Land size Grain law/WR system But to really explore these advantages it must address some key bottlenecks: Bring down cost per mt by increasing yields Solve the export problems / wagon shortages Further improve transparency of the players Improve availability of working capital Rabobank will continue to support the Kazakh grain sector October 23/24 2008– First Kazakh Grain Forum Astana October 23/24 2008– First Kazakh Grain Forum Astana Financing the Kazakh grain sector Who is Rabobank? Rabobank is the largest Allfinanz financial service corporation in the Netherlands Rabobank is an AAA rated financial institution Rabobank has an international food agri focus Raboban