Deal #3458

Salala Rubber Corporation (SRC)

Owned by Agrifinal and Socfinaf, both subsidiaries of Socfin; Salala plantation and factory are managed by Socfin Consultant Services. International Finance Corporation (IFC) has tabled all SRC’s loan application processes pending full scale investigation into the complaint filed against it by communities. Dutch Banks ING Group, ABN AMRO, and Rabobank have provided 3.1 billion Euros (nearly US$3.5 billion) to agriculture projects that have led to deforestation and human rights violations around the world, including SRC Nearly two decades ago, the IFC provided a long-term loan of US$10 million to Salala Rubber Corporation to help rehabilitate and expand its plantations, optimize processing capacity, and increase employment. The planned divestment by Socfin poses significant risks for all parties involved, including potential buyers inheriting unresolved social, environmental, and legal issues, as well as uncertain liabilities and obligations.