Tag Archives: debt
China & Sudan Sign Agricultural Agreement
June 29, 2013, (KHARTOUM) – Sudan’s minister of agriculture Abdel Halim al-Mutafi, announced that his government signed an agricultural cooperation agreement with Beijing which gives Chinese companies several options to operate in Sudan. A Sudanese farmer stands in a field of sorghum in Gezira state (AFP) According to the agreement Chinese companies could directly invest in Sudan, engage in partnerships with local partners, or fund agro-processing and food production projects. The accord aims at promoting Sudan self-sufficiency and exporting surpluses to China and the rest of the world to contribute to solving the world’s food shortage, the minister said. Al-Mutafi added in statements to Chinese media on the sidelines of the second session of the strategic dialogue between China and Sudan on Saturday that Sudan seeks to transfer the Chinese experience and advanced technologies to boost agricultural production. He said that the visit also aimed at attending the fourth forum on Small and Medium Enterprises (SMEs) cooperation between China, West Asia, and North Africa countries. The Sudanese delegation currently visiting Beijing is led by presidential assistant Nafie Ali Nafie and several ministers from Sudan’s economic sector as well as a group of businessmen. Al-Mutafi, disclosed that both countries have agreed on the major strategic issues and regional and international relations as well as Sudan’s internal issues. He underscored the importance of the dialogue and said that it offered a good opportunity to discuss the recent problems between Sudan and South Sudan, mentioning the positive role which China could play to promote peace between the two countries. The Sudanese official further said that his country’s relation with China is progressing slowly but in a deliberate and calculated manner, pointing to the joint investment in oil industry as well as minerals and agriculture. He added that China’s increasing food consumption and Sudan’s large fertile land enhance opportunities for agricultural cooperation between the two countries. Last year Sudan granted China permission to set up a free-trade zone for agricultural products and livestock to boost bilateral transactions. Once hoped to be the breadbasket of the Arab world, Sudan’s agricultural sector has continued to deteriorate over the years mainly as a result of negligence, drought, mismanagement, high taxes and the overall economic climate. Sudanese farmers often complain about the high costs of imported materials such as fertilizers. Many of them were sent to jail as their debt piled up. Several ambitious plans enacted to bring life to the sector have failed to materialize and critics say the government forfeited a golden opportunity during the oil boom to boost agriculture. Foreign investors also complain about lack of infrastructure and unfriendly laws which they say deters them from putting money in Sudan’s vast farmlands. (ST) Continue reading
Google-Backed Cool Planet Raises $29.9m In Debt
7 Jun 2013 Google-backed biofuels developer Cool Planet has raised just shy $29.88m of debt as it moved forward with plans to build its first production facility. The company, which also counts BP, General Electric and NRG Energy as investors, disclosed the financing in a filing with the Securities & Exchange Commission. Although the disclosure states that Cool Planet is not looking to increase this level of debt investment currently, CFO Barry Rowan told Bloomberg the effort is part of a $100m it expects to raise this year that will be converted into equity at completion. Its company is planning for its first production facility to be complete by the end of 2014 but a site has not yet been decided. Rowan joined the business in December 2012, bringing with him over 30-years’ experience in building and turning around large-scale technology companies in a variety of industries. He previously served as EVP, CFO and chief administration officer for Vonage, a $900m internet communications company. Based in California’s Silicon Valley, Cool Planet has previously said it expects the price tag of its first plant to be $50m with additional funds needed for production and other corporate expenses. According to a report in GigaOm, the high-tech business said it is estimating the production of biofuel to cost $1.50 per gallon at a plant that would have a capacity of ten million gallons per year. At the beginning of 2012 it received permission from the California Air Resources Board (CARB) to begin fleet-testing its negative carbon gasoline product. Copyright © 2013 NewNet Continue reading
Budget To Cost Farmers Inheritance Tax
09-05-2013 14:32 PM With almost every Budget delivered by a Chancellor, it is fair to say that the devil is in the detail rather than in the speech itself. The 2013 Budget was no exception. Hidden away in a Press Release issued after the Chancellor sat down was the intention to introduce legislation preventing the claiming of Inheritance Tax Relief on some loans. Whilst initially the approach does not seem unreasonable, a closer reading uncovers that these rules also have the potential to impact on those who have taken out loans to acquire assets that qualify for Business Property Relief and Agricultural Property Relief. For many years, owners of Farms and Landed Estates have looked to secure borrowing against assets which do not qualify for other forms of Inheritance Tax Relief. Classically, borrowing has been kept away from assets such as land that qualifies for Agricultural Property Relief and has been secured against investment assets, such as let property, where no Inheritance Tax Relief is available. It seems that HM Revenue & Customs are now proposing that a loan should only be deductible against the asset it was used to acquire when assessing an individual’s estate liable to Inheritance Tax. This means that if the purpose of taking out the debt was to acquire a block of land, the debt is deducted from the value of that land when calculating the value of a person’s estate, even if the land also benefits from Agricultural Property Relief. This move is likely to have significantly more effect than it would have done a generation ago given the amount of diversification that has taken place on a number of farms. Assuming that this proposal finds its way into legislation when the Finance Act receives Royal Asset, which is likely to be in July, owners of farming businesses would be well advised to revisit any Inheritance Tax planning they have already undertaken. Unlike other transaction based taxes, the liability to Inheritance Tax tends to ebb and flow as personal circumstances change. Therefore, regardless of this most recent proposed amendment to the legislation, it is good practice to regularly review both your Will and Inheritance Tax planning to ensure they are up to date and effective. Continue reading
