The Guarantee Fund helped the entrepreneur to transfer from a trader to a manufacturer
- Posted by: test
- Category: Digest
The entrepreneur Mamatkul Kenzhibaev has been engaged in wholesale and retail trade of rubber footwear products in Kyrgyzstan for 20 years, which he acquired in the markets of the Russian Federation.
In the spring of 2019, M. Kenzhibaev applied to the Guarantee Fund with a request to provide a guarantee for a large loan amount from one of the country’s banks. The entrepreneur’s project involved the launch of the production of products from polymeric materials, for which at the initial stage it was necessary to purchase the appropriate equipment. After purchasing and installing the necessary equipment for the manufacture of rubber footwear in Bishkek, M. Kenzhibaev launched the production of these products, creating 7 jobs. The production capacity of the enterprise ranges from 3 to 20 thousand pairs of shoes per month, depending on the season and the volume of orders received.
On June 1, 2020, on the territory of the FEZ “Leilek”, the entrepreneur opened the second workshop for the production of rubber shoes, providing seven jobs for residents of the village Dostuk of the Leilek district of the Batken region. The production capacity of the workshop in Batken is similar to that of the workshop that manufactures products in Bishkek. M. Kenzhibaev is the head of one of eight entities operating in this economic zone. The enterprise today is practically the most stable in comparison with other subjects of the FEZ.
Mamatkul Kenzhibaev spoke about his short-term and medium-term plans: “Today we have a preliminary agreement with Kazakh businessmen to supply 40 thousand pairs of shoes per month. If some formal issues are resolved by agreement with customers from Kazakhstan, we will proceed to fulfill the order, and the number of workers will increase to 20 people in each workshop. ”
“In addition, subject to business development, with the same support from the OJSC “Guarantee Fund” and other financial institutions, within two to three years, I want to start construction of a plant in the Alamudun district with a production capacity of over 3 million pairs of rubber shoes, where will be able to work at least 100 people “- shared his vision of the prospects for his business M. Kenzhibaev.
This project became the 52nd under the One Region – One Enterprise program, developed by the Guarantee Fund, in order to create enterprises focused on the production of domestic products capable of becoming import substituting and increasing export volumes to the markets of neighboring countries. To implement this project, the Guarantee Fund provided the entrepreneur with a guarantee, the share of which from the total loan amount was about 40%.
If all the plans of the entrepreneur are implemented, the production volumes of his products can easily cover not only seasonal consumer demand in the domestic market of the country, but also be sent as exports to the markets of neighboring countries, while not inferior in competitiveness either in quality nor on pricing policy.