Agrocorp, a Singapore-based global supply chain company, has received a $50 million borrowing base facility from FMO, the Dutch entrepreneurial development bank and Rabobank.
The loan is intended to ensure a continuous flow of food from farmers to end-consumers amid the Covid-19 pandemic, according to the company.
The new loan is the company’s first borrowing base facility, split into 2 equal tranches.
As part of the facility, Agrocorp will be working with Earth Systems, a consultancy firm, in order to determine and monitor sustainability targets and reporting requirements.
In addition, the supply chain company will also be involved with FMO to kickstart farmer training programs in markets like Myanmar where it has a notable presence.
Vijay Iyengar Agrocorp’s Chairman and Managing Director, commented, “We are happy to have finalised this facility with FMO and Rabobank and are confident that this will be an important stepping stone to further growth and cooperation. It is especially commendable that this facility was closed during these turbulent times and we are grateful for the trust that both Rabobank and FMO have placed in us.”
“We are delighted to have the opportunity to work with Agrocorp and FMO, both highly reputable firms. This new working capital facility will enable the client to implement a more sustainable food supply chain in emerging countries,” Harjan Kuiper, CEO of Rabobank Singapore, said.
It is worth noting that the company has operations in more than 20 countries. Headquartered in Singapore, Agrocorp is specialized in several agricultural commodities like pulses, wheat, rice, oilseeds, sugar, and edible nuts.