Nestlé and BBVA Join Forces to Empower Sustainable Agribusiness Growth Through Credit Access
Source: The DairyNews
Nestlé, a leading food company, and BBVA Mexico, a prominent bank with a 20% stake in Mexico, have forged a collaborative partnership to bolster the sustainability journey of 1,500 agribusiness suppliers.
Through this strategic alliance, the companies aim to facilitate credit access, mobilizing 30 million pesos and potentially unlocking around 300 million pesos for primary sector suppliers integral to Nestlé's value chain.
Fausto Costa, the Executive President of Nestlé Mexico, emphasized, "This initiative marks another stride in our unwavering commitment to the sustainable development of the Mexican countryside and the transition to regenerative food systems. We are providing resources, knowledge, and tools to empower our suppliers in implementing innovative work techniques that enhance their performance."
Ricardo Mange Aguayo, Director of SME Banking at BBVA Mexico, highlighted the alignment of the bank's credit process with the agreement, tailoring financing terms to suit the characteristics of the agribusiness sector. This approach not only facilitates credit access but also supports companies in transitioning to sustainable production systems. BBVA Mexico has further fortified its commitment by developing a specialized structure and a comprehensive range of financing solutions to bolster agribusiness processes, packaging, and food marketing.
The initial Crediproveedores agreement, inked in July of the previous year, has already yielded significant results, mobilizing 3 billion pesos through a factoring line. In terms of sustainability, BBVA has set an ambitious goal of mobilizing 300 billion euros from 2018 to 2025. As of September 2023, they have already achieved 185 billion euros, with 77% dedicated to combating climate change and 23% to fostering inclusive growth. This collaboration stands as a testament to the shared commitment of Nestlé and BBVA towards sustainable practices and economic empowerment within the agribusiness sector.
Fausto Costa, the Executive President of Nestlé Mexico, emphasized, "This initiative marks another stride in our unwavering commitment to the sustainable development of the Mexican countryside and the transition to regenerative food systems. We are providing resources, knowledge, and tools to empower our suppliers in implementing innovative work techniques that enhance their performance."
Ricardo Mange Aguayo, Director of SME Banking at BBVA Mexico, highlighted the alignment of the bank's credit process with the agreement, tailoring financing terms to suit the characteristics of the agribusiness sector. This approach not only facilitates credit access but also supports companies in transitioning to sustainable production systems. BBVA Mexico has further fortified its commitment by developing a specialized structure and a comprehensive range of financing solutions to bolster agribusiness processes, packaging, and food marketing.
The initial Crediproveedores agreement, inked in July of the previous year, has already yielded significant results, mobilizing 3 billion pesos through a factoring line. In terms of sustainability, BBVA has set an ambitious goal of mobilizing 300 billion euros from 2018 to 2025. As of September 2023, they have already achieved 185 billion euros, with 77% dedicated to combating climate change and 23% to fostering inclusive growth. This collaboration stands as a testament to the shared commitment of Nestlé and BBVA towards sustainable practices and economic empowerment within the agribusiness sector.
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