Balkan conveyor belt maker wins IFC loan

ERJ staff report (DS)

Suhareke, Kosovo -- IFC, a member of the World Bank Group, is

providing a loan of up to euro 5.2 million to Newko Balkan LLC, a producer of

rubber conveyer belts. The aim is to foster economic recovery and cross-border

trade in Kosovo.

IFC's investment in the company, owned by Turkish firm Ozer Konveyör Band

Turizm Sanayi ve Ticaret A.S. (Ozerband), will help meet growing demand in

Turkey and Kosovo for the belts, which are used to transport bulk materials

like coal, minerals and cement. Newko Balkan is the only producer of rubber

conveyer belts in Kosovo. Total estimated project cost is €11.3 million.

Demand growth for rubber conveyor belts is highly correlated with the

growth of electric generation and consumption. While the demand for

electricity in Southeast Europe is expected to grow annually by 2.3

percent, the demand in Kosovo and Turkey is expected to grow much faster in

the coming years.

Ozerband, established in 1976, is the only rubber conveyor belt

manufacturer in Turkey. It is part of a family-owned and operated

diversified industrial group active in rubber conveyor belts, marble mining

and processing, rubber boots and shoes and tourism. In 2005, Ozerband

purchased I.G.K. Balkan, a state- owned entity established in 1963 to meet

the rubber conveyor belt needs of the former Yugoslavia and the former

Soviet Republics.

This is an external link and should open in a new window. If the window does not appear, please check your pop-up blocking software. ERJ is not responsible for the content of external sites.

Press release from IFC

www.newkobalkan.com

www.ozerband.com