InvestEU - EIB Signs €35 Million Loan For Agria Group Holding For A New Sunflower Oil Processing Plant

Agria Group Holding AD is a Bulgarian holding group, which, through its subsidiaries, operates in the field of agricultural production, grain and oilseed storage and trade. It is also active in the processing industry, including the production of bioethanol. The company has three main logistics centers in north-eastern Bulgaria. The holding’s grain facilities store and trade about 750 000-800 000 tons of grains and oilseeds annually.

This agreement is backed by the InvestEU program, which aims to trigger more than €372 billion in additional investment between 2021 and 2027. The InvestEU program mobilizes investment for EU policy priorities such as the green transition, competitiveness, innovation and sustainable infrastructure.

Thanks to InvestEU and the EIB’s support, Agria Group Holding, which is one of Bulgaria’s leading grain producers and grain traders, will optimize its own production of sunflower seeds and improve its access to export markets. With a total estimated cost of about €75 million, the project will also create new jobs and promote sustainability and resilience in rural areas.

The new processing plant for crude sunflower oil will be built in the town of Popovo in northern Bulgaria. It will use waste-free, green technology, generating climate benefits by producing renewable energy based on discarded sunflower seed hulls. The project is expected to become operational in the second half of 2027. It also includes the purchase of railcars to transport the product to Bulgaria’s Black Sea port of Varna, thus cutting greenhouse gas emissions from road freight transport.  

The InvestEU program provides the European Union with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps mobilize private investments for the European Union’s policy priorities, such as the European Green Deal and the digital transition. The program consists of three components: the InvestEU Fund, the InvestEU Advisory Hub and the InvestEU Portal. The InvestEU Fund is implemented through financial partners that will invest in projects using the EU budget guarantee of €26.2 billion. The entire budget guarantee will back the investment projects of the implementing partners, increase their risk-bearing capacity and thus mobilize at least €372 billion in additional investment.