PRONACA is one of the largest food producers in Ecuador, operating an integrated supply chain that includes feed production, animal farming, meat processing, and distribution to retailers and consumers. The stated objective of IFC’s financing was to provide liquidity to PRONACA during the COVID-19 pandemic to help sustain its operations and employment, thereby supporting food security in Ecuador. Specifically, IFC’s loan was intended to fund the company’s working capital requirements, as well as selective capital expenditures necessary to maintain and expand PRONACA’s production, processing, storage, and distribution capacity, with a focus on its pork and poultry business lines.

According to IFC’s public disclosures, PRONACA operates through an extensive footprint of more than 115 sites, including farms, processing plants, storage facilities, and distribution centers, which are spread across approximately 10 provinces in Ecuador.

In April 2025, CAO received a complaint filed by individuals living near the project sites, along with CONAIE (Confederación de Nacionalidades Indígenas del Ecuado), an organization representing Indigenous communities in Ecuador. The complaint was also submitted with support from the Coordinadora Ecuatoriana para la Defensa de la Naturaleza y del Ambiente (CEDENMA), the Bank Information Center (BIC), and Friends of the Earth (FOE).

The community members raised concerns related to water contamination from the client’s wastewater discharges; air pollution caused by odors from the client’s farms; community health and safety risks; impacts on Indigenous communities; livelihood impacts due to effects on the tourism industry; and a lack of information sharing by IFC and the client regarding their operations, among other issues.

In April 2025, CAO found the complaint eligible and conducted an assessment. During CAO’s assessment, the parties agreed to engage in a voluntary CAO-facilitated dispute resolution process to address the issues raised in the complaint. In accordance with the CAO Policy, the case was transferred to CAO’s Dispute Resolution function.  The Assessment Report is available in English and Spanish.