FMO signed a USD 15 million facility with Phuc Sinh Corporation to support the construction of a sustainable coffee processing factory and enhance traceable coffee sourcing in Vietnam.

Information on the Target

Phuc Sinh Corporation is a prominent sustainable coffee exporter based in Vietnam, dedicated to promoting environmentally friendly practices in coffee production. The company is well-known for its commitment to Rainforest Alliance certified products and aims to expand its certified cultivation to over 7,000 hectares. This initiative is designed to involve thousands of farmers in adopting sustainable, deforestation-free, and climate-resilient agricultural practices. By directly impacting approximately 10,000 individuals, including those from vulnerable populations, Phuc Sinh plays a crucial role in enhancing the livelihoods of local communities.

Industry Overview in Vietnam

Vietnam is one of the largest coffee producers in the world, primarily focusing on Robusta beans. The country has seen a growing demand for sustainable coffee as international markets increasingly prioritize environmentally friendly and ethically sourced products. This shift has led to a heightened focus on sustainable farming practices, with numerous local companies striving to meet the Rainforest Alliance and Fair Trade certifications.

In recent years, the Vietnamese coffee industry has faced challenges related to climate change, including altered rainfall patterns and increased temperatures, which affect crop yields. To combat t