The International Finance Corporation (IFC), the largest global development institution focusing on the private sector in emerging markets, is helping GREENFEED Vietnam Corporation increase its pig breeding and farming capacity, which will help ensure a reliable supply of safe and quality pork while enhancing livestock production practices in Vietnam.
IFC’s investment of USD 43 million – through a seven-year bond – will allow GREENFEED to expand its pork production activities in Vietnam. The company’s fattening pig production capacity is expected to increase by 750,000 pigs by 2023, translating to a supply of over 125,000 metric tons of pork every year.
Pork is a staple and a vital source of protein for Vietnamese consumers, accounting for up to 70% of the total meat consumption in the country. About half of the nation’s pork is currently supplied by small-scale pig farms with low biosecurity standards. Over the past two years, the spread of African Swine Fever (ASF) – a fatal and highly contagious viral disease affecting pigs globally – in Vietnam has dramatically reduced supply, causing a sharp rise in pork prices. Live hog prices are now about 50% higher than pre-ASF prices, after having doubled during the 2019 – 2020 period.
IFC’s grant, in alignment with the government’s target of producing 70% of the nation’s pork in modern and more biosecure industrial farms, will help address the severe pork supply shortage and price volatility triggered by the ASF.