Neumann Gruppe GmbH (FMO-62234)

Regions
  • World
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Netherlands Development Finance Company (FMO)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Jan 30, 2024
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Neumann Gruppe GmbH
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Agriculture and Forestry
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 2.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ FMO website

Updated in EWS Apr 13, 2024

Disclosed by Bank Apr 14, 2023

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Contact the EWS Team

Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, FMO participates in Neumann Kaffee Gruppe - NKG's Smallholder Livelihood Facility (SLF) which is a part of NKG's Responsible Business Program (NKG Bloom) to source sustainably produced coffee and support the livelihoods of smallholder farmers. The SLF was established in 2019 by NKG backed by IDH, BNP Paribas, Rabobank and DFC for financing individual smallholder farmers and cooperatives.

Through its sustainability program NKG Bloom, NKG aims to reach 300,000 smallholder farmers by 2030 (currently +81,000) via its impact-backed initiative SLF. In doing so, NKG fills the financing gap that smallholder farmers face (short term to long term financing opportunities), offers technical support and other production-related services. In the end, the initiative and the partnership brings access to financial services for smallholder coffee farmers.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The E&S category is B+, due to largely reversible impacts, which can be mitigated through good management practices and Good International Industry Practice. The Company's fixed assets are mainly coffee mills, buying stations, warehouses and washing stations. Current assets as well as the supply chain show exposure to IFC Performance Standard (PS) 1 to 4 (I.e. ESMS, occupational and community health and safety, promote more sustainable use of resources, including energy and water), as well as 5 and 6 (land acquisition legacy issue and possibly biodiversity loss / deforestation through enlargement small holder plots using SLF).

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Funding: FMO NV

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

German based Neumann Kaffee Gruppe (NKG) is a leading green coffee merchandiser with operations spread over 26 countries. The group is active across the entire coffee value chain, from owning and operating coffee farms to exportation of green coffee from origins and importation of green coffee into consuming regions. NKG also has service divisions which offer market research, coffee-related training and education, warehousing, milling, blending and logistics solutions.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Neumann Kaffee Gruppe Client -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

No contacts available at the time of disclosure.

Website customer/investment:

https://www.nkg.net/

ACCESS TO INFORMATION

As part of FMO's ex-ante disclosure (disclosure of transactions before contracting), you can send requests or questions for additional information to: disclosure@fmo.nl

ACCOUNTABILITY MECHANISM OF FMO

Communities who believe they will be negatively affected by a project funded by the Dutch Development Bank (FMO) may be able to file a complaint with the Independent Complaints Mechanism, which is the joint independent accountability mechanism of the Dutch Development Bank (FMO) and the German Investment Corporation (KfW). A complaint can be filed in writing, by email, post, or online. The complaint can be filed in English or any other language of the complainant. The Independent Complaints Mechanism is comprised of a three-member Independent Expert Panel and it can provide either problem-solving, compliance review or both, in either order. Additional information about this accountability mechanism, including a guide and template for filing a complaint, can be found at: https://www.fmo.nl/independent-complaints-mechanism

How it works

How it works