The level of bank financing of factory farming
To give you an idea of the scale of loans made to factory farms
Bankrolling the Butchers by Feedback calculates that the UK’s “big six” banks provided at least US$77 billion in financing to 55 of the world’s largest big livestock and animal feed companies between 2015 and 2022.
International Finance Corporation (IFC) loans
The IFC is a member of the World Bank Group (WBG). Whereas the World Bank provides finance for public ventures, the IFC funds private sector projects.
From Stevenson, 2023
| Recipient of funding | Purpose of funding | Amount of funding | Year of funding |
|---|---|---|---|
| Suguna in India, Bangladesh and Kenya | Expansion of poultry operations and construction of feed mills | Loan of US$53 million | 2020 |
| Pronaca, Ecuador | Expansion of pig farms and feed mills | Loan of US$50 million | 2021 |
| GreenFeed Vietnam | Grow GreenFeed business to 200,000 sows per annum. IFC investment will support construction of an additional 200 sow and fattening farms. Note: GreenFeed is also a feed producer. | Loan up to US$43 million | 2021 |
| HMH Rainbow in Uganda | Construction of four new broiler farms (or 16 broiler houses) and upgrading the current abattoir. Also, establishment of grain silos and bulk feed-dispatch systems | Loan of US$5 million | 2021 |
| Mavin, Vietnam | Support the expansion of Mavin’s pig breeding and pig farming. Note: Mavin is a top ten producer of animal feed in Vietnam. | US$26 million equity | 2022 |
| Louis Dreyfus Company Brazil | Purchase of soy and corn | Loan of US$100 million | 2022 |
| BAF, Vietnam | Expansion plan to develop 88 new farms. Note: BAF also has feed mills. | Loan of US$38 million | 2023 |
| GUANGXI YANGXIANG (GXYX) | Provide working capital for four multi-storey pig farms and a feed mill | Loan of US$24 million | 2023 |
According to this report from stop financing factory farming in 2023:
- IDBG is the Inter-American Development Bank Group. This group funded 14 projects overall. This was led by public-sector oriented IADB (9 projects), not private-sector oriented IDB Invest (5 projects). Average project value was 27.2 million USD.
- The World Bank Group funded 26 projects, average project value was 92.3 million USD.
- Half projects were private half public
A Feedback report published in July 2020 took a wider look at the financing of animal agriculture, showing that $478 billion had been given to meat and dairy companies by more than 2,500 investment banks, firms, and pension funds around the globe from 2015 to 2020. By comparison, just $59 billion in backing was received by alternative protein producers over the same period, according to the Good Food Institute.