Vietnam’s Vinh Hoan Corporation, a leading pangasius exporter, has secured a green loan from HSBC Vietnam to advance its sustainability goals, marking a significant step in the country’s seafood industry’s green transition. The loan, which is the first of its kind arranged by HSBC for both Vinh Hoan and the Vietnamese seafood sector, will support the company’s efforts to reduce its environmental footprint and enhance its circular economy practices in aquaculture.
Details of the loan amount were not disclosed, but the deal underscores HSBC Vietnam’s commitment to addressing climate change impacts on key sectors, including seafood. Ahmed Yeganeh, head of wholesale banking at HSBC Vietnam, highlighted the bank’s long-standing partnership with Vinh Hoan, which spans 24 years. He commended the company’s “clear sustainability vision,” noting that Vinh Hoan’s green initiatives could inspire others in the industry to follow suit.
The green loan will enable Vinh Hoan to optimize its value chain and minimize waste in its aquaculture operations. The company has adhered to rigorous credit approval processes set by HSBC and met the high standards of the Green Loan Principles, a global framework for green financing.
Vinh Hoan’s CEO, Nguyen Ngo Vi Tam, emphasized the company’s commitment to a circular economy model, which includes value creation from by-products and substandard products. She also noted that certifications from the Aquaculture Stewardship Council and Best Aquaculture Practices were key to securing the financing.
As part of its green initiatives, Vinh Hoan has expanded its partnership with Singapore-based biotech firm Entobel. The two companies have agreed to an offtake deal for 15,000 tonnes of insect protein, which will be used in Vinh Hoan’s fish farming operations. This collaboration supports the broader goal of reducing reliance on wild-caught fish meal and promoting more sustainable protein sources for aquafeed.
The move reflects a growing trend in Southeast Asia to make aquaculture more sustainable, with Entobel’s Vung Tau facility serving as one of the largest insect protein production sites globally.
