ECOM AGROINDUSTRIAL CORPORATION LTD
Status: Approved investmentWhy disclosure?
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In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Ecom Agroindustrial Corporation Ltd is a global commodity trading and processing company focusing on coffee, cotton, and cocoa in major producing and consuming countries. ECOM is a top tier participant in each of its core businesses. In 2017, the company handled 12.7 million bags of coffee, 2.65 bales of cotton and 1.15 million tons of cocoa.
What is our funding objective?
The proposed loan is to improve ECOM’s balance sheet and debt maturity profile. The funds will be used to support ongoing capital expenditures and working capital.
Why do we fund this investment?
The loan will support ECOM’s inclusive business model that focusses on long term relationships with smallholder producers in emerging markets. ECOM works directly with cocoa, coffee and cotton farmers and supports them in becoming better farmers through training, certification and a strong focus on the off take of quality products. FMO works together with ECOM to optimize supply chain management and to develop and test KPI’s to be able to measure the impact of the company’s activities on smallholder livelihood.
What is the Environmental and Social categorization rationale?
E&S Category A because of the potential environmental and social risks in the supply chain. The following IFC Performance Standards are applicable: 1-4 and 6 (Assessment and Management of Environmental and Social Risks and Impacts, Labor and Working Conditions, Resource Efficiency and Pollution Prevention, Community Health & Safety and Security and Biodiversity Conservation and Sustainable Management of Living Natural Resources respectively). The other Performance Standards (PS 5, 7, 8; Land Acquisition and Involuntary Resettlement, Indigenous People and Cultural Heritage) are not triggered: no land will be acquired, no new operations will be established which might impact indigenous people or affect cultural heritages.
More investments
| Date | Total FMO financing |
|---|---|
| 12/11/2020 | USD 60.00 MLN |
| 12/14/2017 | USD 35.00 MLN |
| 12/21/2016 | USD 20.00 MLN |
| 6/7/2022 | USD 25.00 MLN |
| 11/7/2024 | USD 50.00 MLN |
| 11/7/2024 | USD 30.00 MLN |
- Website customer/investment
- http://www.ecomtrading.com
- Country
- Global
- Sector
- Agribusiness, Food & Water
- Publication date
- 9/6/2018
- Effective date
- 11/29/2018
- Total FMO financing
- USD 10.00 MLN
- Funding
- FMO NV
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - A