The Asian Development Bank has disbursed a loan of $40 million to New Hope Liuhe Co., Ltd. (NHL), a leading integrated animal protein producer in the PRC (People’s Republic of China) to promote biosecurity and help develop a more inclusive and sustainable livestock business in the country.
The multilateral lender is also mobilizing $60 million from local commercial banks to co-finance the project, as per the latest inputs.
The assistance will help finance the construction of two hog farms, one in Hebei Province and the other in Guangxi Zhuang Autonomous Region.
Also, a meat processing facility would be built in collaboration with Cooperl Arc Atlantique, one of the largest hog producers in Europe.
“Livestock accounts for nearly half of the total contribution of the agriculture sector to the PRC’s economy, but it faces animal disease risks, pollution, climate change impacts, antibiotic overuse, and low productivity,” said Head of the Agribusiness Investment Unit at ADB’s Private Sector Operations Department Martin Lemoine.
“ADB’s assistance to NHL promotes an efficient, safe, and sustainable business model for meat production in the PRC and across the region given the high demand in protein,” Lemoine added.
Enhanced biosecurity can reduce the risk of animal-to-human transmission of disease.
New Hope Liuhe Co. will also make efforts to empower women’s livelihoods by targeting 50% of jobs for women in the meat-processing plant and 20% of jobs in project farms.