Vietnamese coffee and pepper producer gets $25 mln loan from Dutch fund

Vietnamese coffee and pepper producer and exporter Phuc Sinh Corporation will receive a loan worth $25 million from SAIL Investments’ Netherlands-based & Green Fund, for developing a sustainable coffee value chain without deforestation, the Government News has reported.

This is the Dutch fund's first investment in a Vietnamese enterprise, signaling positive signs for the agricultural sector of Vietnam in attracting sustainable investments from international financial markets.

Phuc Sinh announced the partnership on August 15.

Through this partnership, & Green Fund will provide financing for Phuc Sinh to promote agricultural transformation towards a sustainable coffee value chain without deforestation.

With the long-term investment and support from the fund, Phuc Sinh pledges to speed up the transformation of Vietnam's coffee industry towards traceable and deforestation-free supply chains, focusing on improving the quality and value of Vietnamese coffee and promoting sustainably-produced products on a global scale, according to Mr. Phan Minh Thong, Chairman of the Board of Directors of the Phuc Sinh Corp.

&Green fund is managed by SAIL Investments, a Netherlands based global sustainable investment manager, investing in corporates globally that can demonstrate the decoupling of commodity production from deforestation and protect biodiversity while being socially inclusive.

The fund is focused on tropical forest jurisdictions that have progressive protection strategies and targets in place. It targets commodity sectors that are driving deforestation, such as palm oil, soy, animal protein, and forestry.