London, March 20, 2026 — Standard Chartered and COFCO International have closed a $435 million sustainability-linked revolving credit facility aimed at supporting responsible agriculture supply chains in South America.
The financing structure links COFCO International’s borrowing terms to measurable sustainability performance targets, focusing on social and resilience outcomes. It is described as the first publicly disclosed sustainability-linked loan in the region’s agriculture sector centred entirely on social and resilience impacts.
Under the agreement, COFCO International’s margin will be adjusted based on two externally verified key performance indicators, including increased volumes of grains and oilseeds certified under recognised responsible agriculture standards, and enhanced supplier due diligence and labour safeguards in Brazilian soy and corn supply chains.
Standard Chartered said the structure reflects a broader shift in sustainability-linked financing beyond environmental metrics, incorporating supply chain resilience and social risk considerations.
COFCO International said the facility aligns its sustainability objectives with financial management, supporting the expansion of certified agricultural supply chains and improving market access for producers.
South America remains a critical region for global food supply, with agriculture facing increasing exposure to climate variability and social risks, making governance and supply chain oversight a key focus for market participants.
The transaction follows established Sustainability-Linked Loan Principles.
The Banking Outlook Insight:
Banks are expanding sustainability-linked financing beyond climate metrics, embedding social and supply chain resilience into lending structures as risk management becomes more complex.
Source: Standard Chartered