Project detail - Camimex Joint Stock Company

Who is our prospective customer?

Camimex Group Joint Stock Company (CMX) is one of Vietnam’s leading processors and exporters of conventional and premium organic shrimps. Established in 1977 in the Ca Mau province of the Mekong Delta, the company processes seafood, mainly shrimps, at three processing factories, with an annual capacity of 15,000t. The company sources organic shrimp from over 1,200 smallholder farmers across 6,300ha of integrated mangrove farms. CMX employs ~1,100 people directly.

What is our funding objective?

Purpose of the USD 15mln facility is to finance expansionary capex to (i) construct a new processing factory (6,000), including cold storage and fast freezing systems, (ii) construct new organic hatcheries, (iii) working capital required for certifications and purchasing of organic shrimp. The capex forms part of a larger plan to (i) improve the incomes of ~7,200 smallholder farmers through organic certifications and supplying organic certified PLs, (ii) promote the sustainable management of up to 16,300 hectares of wetlands by promoting sustainable Silvo-aquaculture practices, which includes mangrove cover expansion.

Why do we want to fund this investment?

The proposed transactions should strengthen climate adaptation and resiliency of shrimp farmers and sequester carbon through increasing mangrove coverage. It should also help create jobs, strengthen food production & security, improve farmer livelihoods. CMX’ vision aligns with FMO’s in promoting sustainable aquaculture in Vietnam.

What is the Environmental and Social categorization rationale?

CMX’s E&S risk category is B+. An external High Conservation Values Assessment was conducted as the project takes place in proximity to the Mui Ca Mau Biosphere Reserve and shrimp supplier production taking place in the Indochina mangrove Ecoregion. The following IFC Performance Standards are applicable: PS 1 (organization, risk assessment, stakeholder engagement plan, contract management), PS 2 (HSE programs, labour), PS 3 (Resource Efficiency, Pollution Prevention), PS 4 (Community Health Safety and Security), and 6 (Biodiversity conservation and sustainable management of living natural resources including supply chain and climate impact, see also category). There is no land acquisition planned for the moment, Indigenous People are not living on the sites where the company is active, nor is there any cultural heritage, based on that PS 5 (Land Acquisition and Involuntary Resettlement), PS 7 Indigenous Peoples, and PS 8 (Cultural heritage) are regarded as not relevant.