Investment forum of new Ventures, Perú, Juny 2004

The Andean Development Corporation, the United Nations Conference on Trade and Development (UNCTAD) and the World Resources Institute (WRI) announced the 10 businesses that will compete in the First Investor Forum for Biodiversity Enterprises in the Andean region and the nine Brazilian Amazon states.

The 10 enterprises that will present their business plans in the Investor Forum were selected as finalists from 50 competitors from Bolivia, Brazil, Colombia, Ecuador, Peru and Venezuela. These enterprises are characterized by their innovative business models designed to generate economic development in the regions where they operate, and by their efforts in the sustainable conservation and exploitation of biodiversity. The products they represent include organic cereals, organic aquaculture, medicinal plants; sustainably managed wood-based and similar products; and natural ingredients for the pharmaceutical, cosmetic and food industries such as colorants, plant extracts, Andean grains, essential oils and oil resins, all with high potential on international markets.

The enterprises selected will submit their business plans to an audience of investors, multilateral agencies, and financial institutions in a bid to attract investments in the form of risk capital and loans for an approximate value of $6.4 million.

In January 2004 the 10 competitors start an intense process of mentoring or business assistance with the backing of a group of consultants specialized in structuring business plans and the search for investment capital, with the participation of the Booze Allen & Hamilton consulting firm. In the months prior to the Forum, the competitors will prepare to take their best investment proposals to Lima to demonstrate the virtues of their businesses to investors, potential partners and buyers. With their business plans, the 10 hope to strengthen their presence on international markets especially the United States and Europe.

The Investment Forum, which will take place in Lima, Peru on June 3 and 4, is organized in consortium by the CAF, UNCTAD and WRI, and sponsored by PROFONANPE, the first private environmental fund created in Peru. As well as offering a space where entrepreneurs can look for investments, the Forum also offers a regional integration space aimed at strengthening the economic benefits derived from the good use and exploitation of biodiversity as a dignified and competitive alternative form of economic and social development for the Andean countries and the Amazon.

The Investor Forum for biodiversity enterprises, which is the first to be held in the region, seeks to strengthen the management of small producers and SMEs that work with goods and services derived from biodiversity, which have difficulties in attracting long-term finance. The obstacles are even greater for enterprises that need loans or investment capital to finance viability studies, machinery and equipment purchases, acquisition of patents and legal rights, new product development, production expansion, conversion to more sustainable processes, and generation of greater value-added.

Inspired by the companies that have won the New Ventures Investor Forumspast years (Brazil 2002 and 2001, and Mexico 2002), the organizers decided to develop an Investor Forum exclusively for sectors that make sustainable use of biodiversity, which offers unprecedented opportunities for economic development in the Andean region and the Amazon.

On the organizers New Venturesa project of the Sustainable Enterprise Program of the World Resources Institute which supports the creation of sustainable enterprises in Latin America and Asia connecting them to a network of leading investors in sustainable business projects. New Ventures identifies the most promising enterprises, provides services to assist the development of business plans and introduces the entrepreneurs to potential investors.

The BIOTRADE initiative is an UNCTAD program that promotes trade and investment in products and services derived from biodiversity in developing countries. The purpose of the initiative is to stimulate sustainable development in line with the three basic objectives of the Convention on Biological Diversity. The BIOTRADE Initiative has been involved in creating national and regional programs that help public, private and academic sectors, local and indigenous communities, non-governmental organizations (NGOs) and other institutions to develop sustainable businesses, services to facilitate trade, export promotion and search for capital.

The Andean Development Corporation is a multilateral financial institution whose mission is to support the sustainable development of its shareholder countries and regional integration. It serves the public and private sectors, supplying a range of financial products and services to a broad group of clients, formed by the governments of shareholder countries, financial institutions and public and private companies. Its management policies integrate social and environmental variables, and eco-efficiency and sustainability criteria are incorporated into its operations. The New Ventures Investor Biodiversity Forum is an initiative in the framework of its BioCAF program.

The National Fund for Natural Areas Protected by the Peruvian State (PROFONANPE) was set up by law in 1992 as a private non-profit entity, whose mission is to provide stable long-term financing for the conservation of the country’s biological diversity by raising, managing and channeling funds destined for the management of Protected Natural Areas and their buffer zones in the National System of State Protected Natural Areas (SINANPE). After over 10 years, Profonanpe has a total portfolio of $82.8 million and until December 2003 had channeled $21.7 million to finance 18 programs and projects in 24 of the 56 SINANPE protected areas.

The activities of the Investors Forum enjoy the backing of:

• Bolivia: National Biotrade Program which operates in the Foundation Bolivia Exporta.
• Colombia: National Biotrade Program from the Alexander von Humboldt Institute.
• Ecuador: National Biotrade Program from Corpei.
• Peru: National Biotrade Program from Prompex.
• Brazil: Bolsa Amazonia Program in Brazil.

Please visit the page New Ventures Biodiversity Investor Forum.

Biodiversity Enterprises In The Andean Region Finalists For The New Ventures Forum 2004

Agroalegre (Ecuador) has a long tradition in the production of natural ingredients for food, medicinal and cosmetic use. The company currently produces essential oils and dehydrated products based on over 10 plant species, which it sells in retail stores and to food industry multinationals such as Nestle.

Aloeven (Venezuela) has 10 years’ experience in industrial processing and marketing of raw materials derived from aloe vera (cultivated and collected wild in Venezuela). The company has been developing high value-added derivatives based on concentrations of the active constituent with a clearly defined market potential.

Amazon Ivory (Peru) offers high-quality disks and buttons of tagua (natural ivory) for the local and international textile industries at competitive prices. They have formed strategic alliances with native Amazon communities for supply of their raw material.

Bambú de Colombia (Colombia) focuses on export of products derived from guadua stems from Viejo Caldas, traditional coffee region, valued for their excellent physical qualities. A pioneer in the preparation of parquet floors in Colombia and objects and constructions with internationally recognized designs.

BioCentinela (Ecuador) works in organic aquaculture. Its organic shrimps are only the fifth in the world to receive certification from NATURLAND (Germany). The company serves markets with high environmental awareness such as Germany, Holland, England and Switzerland. In addition to organic shrimp production, BioCentenela has the first certified laboratory in the world to control the production of organic seeds.

Fideos Coronilla (Bolivia) produces pasta and snacks from gluten-free Andean fruits of organic quality, such as quinua and canawa, for local and export markets. Coronilla works in contact with Andean cereal producer associations on the Bolivian Altiplano.

Frutos Baixo Acre (Brazil) specializes in the production and marketing of frozen asai pulp, a fruit endemic to the Amazon region with an exceptional flavor, which also contains a high level of nutrients.

Grupo Alcos (Bolivia) has 28 years experience in the research, production and marketing of pharmaceutical products with a solid presence on the local market. Alcos decided to enter the production and export of natural and medicinal products based on medicinal and food plants native to the region.

Madre Tierra (Bolivia) processes the pulp from Amazon fruits such as cupuazu, majo, and asaí under a model that directly benefits over 300 families and indirectly 120 families that work as collectors under sustainable management plans. The company has the backing of the Vaca Diez Agroforestry Producers Association and the Wild Palm Fruit Collectors Association.

Ornamental Amazon Fish(Peru) operates sustainable fisheries for ornamental fish and protects the working areas of their fishermen. After 12 years of operations, they now have customers in USA, Europe, Japan and Asia. The company received the World Quality Commitment International Award Paris 2003 for leadership, technology and innovation reflected in the quality of the ornamental fish and their packaging.