City Bank Capital and Venture37 signs MoU to develop cold chain infrastructure
City Bank Capital, a financial services provider, and Venture37, a global development organisation, signed a memorandum of understanding (MoU) on 28 March to collaborate in the development of a robust and efficient cold chain infrastructure in Bangladesh.
This partnership will focus on increasing investment opportunities in the areas of cold chain networks, warehousing systems, energy efficiency investment for cold storage, and temperature-controlled logistic (TCL) services, reads a press release.
As per the release, the signing of this MoU marks a significant milestone in the development of infrastructure and investment opportunities in Bangladesh. With a yearly growth rate of 15 percent from 2014 to 2018, the market size of agro-processing industry has reached approximately $4.81 billion, combining both domestic and export volume. The absence of Temperature-Controlled Logistics infrastructure in Bangladesh results in significant post-harvest losses, as reported by The Food and Agriculture Organisation of the UN, with post-harvest loss of 26% for fruits and 12-30% for fish. These inefficiencies can have a severe impact on the country's food security and economy.
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Through this partnership, City Bank Capital and Venture37 aim to implement innovative solutions by increasing awareness and education among farmers and producers about the importance of proper post-harvest management and the use of safe preservation techniques. The two organisations will collaborate in the organisation of conferences, seminars, and workshops to promote awareness and understanding of the TCL sector.
Under the MoU, CBC will identify, evaluate, and recommend investment opportunities in the TCL sector to its clients and investors. This partnership will ensure that clients and investors are aware of the investment opportunities and have the knowledge to evaluate and manage their investments effectively. CBC will match potential investment partners with potential clients in the form of different financial instruments.
"This MoU is a testament to the shared vision and commitment of CBC and Venture37 to contribute to the sustainable development of Bangladesh," said Ershad Hossain, MD & CEO for City Bank Capital.
"We are confident that this partnership will not only enhance the competitiveness of the TCL sector but will also create new opportunities for businesses and investors alike," he added.
The partnership between City Bank Capital and Venture37 is expected to play a significant role in enhancing the competitiveness of the TCL sector and creating new opportunities for businesses and investors. The two organisations will work together towards a brighter and more prosperous future for Bangladesh, reads the release.
