The picture shows a worker displaying corn seeds at the Longping Brazil Seed Factory. (Xinhua)
In the fields of Minas Gerais, Brazil, Durais no longer commutes to work by bicycle in the town of Paracatu. Instead, he drives his private car to work on time every day. At Longping Brazil, he used to be an ordinary shift supervisor. Now, with his solid professional skills, he has become a key figure among local employees.
"The company taught me the skills and gave me dignity," Durais said. "This dignity is attributable to Longping Brazil." Longping Brazil is a subsidiary of Yuan Longping High-tech Agriculture Co., Ltd. (hereinafter referred to as "Longping Hi-Tech") established in Brazil, responsible for promoting Longping Hi-Tech's projects in Brazil.
Since 2017, the Agricultural Bank of China Hunan Branch (ABC Hunan Branch) has relied on its domestic and international collaborative system to deeply participate in the cross-border mergers and acquisitions, capital operations, and project management of CITIC Group in Brazil, helping the seed industry "go global" and "stand firm", and promoting Chinese seed enterprises to become important participants in the global seed industry chain. In 2024, the cross-border financial services provided to Longping Hi-Tech were selected as a typical case by the National Development and Reform Commission for serving the Belt and Road Initiative.
Major Seed Industry Acquisition Backed by 30-Day Trans-Pacific Financing Campaign
Longping Hi-Tech is a comprehensive multinational seed industry group. In 2016, CITIC Group became its largest shareholder by investing in the company. In 2017, the global agricultural technology sector witnessed a major reshuffle. The acquisition and merger of Dow Chemical and DuPont triggered an anti-monopoly divestiture. CITIC Group responded promptly and led the formation of a consortium to acquire Dow's corn seed business in Brazil for 1.1 billion U.S. dollars.
In this cross-Pacific bidding, ABC Hunan Branch responded quickly and customized a financing plan for Longping Hi-Tech. After the project team was established in 2017, ABC Hunan Branch pioneered the "domestic guarantee and domestic loan + domestic and overseas coordination" model, seeking support from the new cross-border financing policy of the State Administration of Foreign Exchange. It opened an international guarantee through a domestic branch and issued a 230-million-U.S.-dollar loan through ABC's Hong Kong branch. The financing term was set at "3+3" years, and credit-based financing was provided. This ensured the timely completion of the bidding and became the largest source of funds for the project.
The financing provided by ABC Hunan Branch not only helped the enterprise open up channels but also controlled exchange rate risks. By locking in exchange rates in the future for Longping Hi-Tech and striving for the best foreign exchange purchase spread, it saved more than 50 million yuan in financing costs. The service of the Agricultural Bank of China (ABC) can be regarded as a pioneering demonstration of financial support for enterprises to "go global".
First Cross-Border RMB Seed Industry Loan Meets Capital Needs, Green Development in Tandem
During the operation of the project in Brazil, ABC Hunan Branch listed Longping Hi-Tech as a key service target for "Technology Finance", "Green Finance" and "Inclusive Finance". Facing the pressure of exchange rate fluctuations and high overseas financing rates, Longping Hi-Tech and ABC Hunan Branch have been continuously cooperating to optimize the financing model.
The picture shows researchers working in the Longping Brazil’s molecular bio-lab. (Xinhua)
In 2023, seizing the opportunity of the signing of the Memorandum of Understanding on RMB Clearing Arrangement between China and Brazil, they innovatively designed a dual-currency overseas loan model of "RMB+USD", and based on daily calculation of financing costs, ABC Hunan Branch issued a 1 billion yuan medium-term working capital loan to Longping Brazil. This became the first cross-border RMB loan for the seed industry in China's banking sector, not only meeting the company's capital needs but also exploring a new path for the allocation of RMB assets overseas.
The significance of this loan goes far beyond the funds themselves. Brazil is the world's second-largest corn exporter, with a corn planting area of 22 million hectares. At the same time, superior varieties can significantly reduce the use of chemical fertilizers and pesticides, which is in line with the concept of green development.
RMB 4 bln Syndicated Financing: Fueling Longping Hi-Tech's Balanced Global Venture
Agricultural Bank of China not only pioneered the first cross-border RMB loan model for the seed industry but also injected financial "fresh water" into the daily operations of Longping Brazil. In August 2025, Agricultural Bank of China and Bank of China jointly issued a 4 billion yuan cross-border syndicated loan to Longping Brazil, replacing its high-interest, short-term existing loans, helping the company lower financing costs, optimize its debt structure, and support its further business development in Brazil.
From the financing plan to process control, the head office of ABC and ABC Hunan Branch adopted a "head-to-head + local coordination" mechanism to efficiently advance specific matters such as credit approval and contract signing.
ABC not only provided strong support at the capital level but also coordinated and collaborated in practical operations. The bank's investment banking platform, ABC International, also offered comprehensive financial services including financial advisory, scheme consultation, and project financing for Longping Hi-Tech's acquisition projects, promoting the systematic and institutionalized development of the seed company's overseas expansion.
Today, Longping Brazil has a market share of over 20% in the Brazilian market and firmly holds a position among the top three in the Brazilian corn seed market, becoming a landmark project of China's "agriculture going global". Along the way, the Agricultural Bank of China has been the most steadfast financial companion of Longping High-Tech and Longping Brazil, not only providing the enterprises with urgently needed financial support but also serving as their strategic partner and a solid backing. Through the integrated coordination and linkage both domestically and internationally, as well as the continuous exploration of innovative financial tools, ABC has demonstrated its responsibility and commitment in serving national initiatives, ensuring food security, and promoting the integration of Chinese enterprises into the global industrial chain with practical actions. It has also set a benchmark case for more Chinese enterprises to "go global", achieving a financial symphony that transcends mountains and seas, national boundaries, as well as language and cultural barriers through bank-enterprise cooperation. (By Yang Jiahe)
A single purchase
