Amsterdam-based Agricultural Commodity Transformation (ACT) Fund has announced the closing of its first senior loan facility from Dutch state-owned impact investor Invest International.
The announcement comes two months after the Dutch (caretaker) government announced the merger of Invest-NL and Invest International to form a full-fledged National Promotional Institution (NPI).
The dual-currency loan comprising of €10M and $10M enables the ACT Fund to reach its first close and start financing small and medium-sized enterprises (SMEs) that are building sustainable and inclusive agricultural value chains.
The ACT Fund, established by the Common Fund for Commodities (CFC), is an intergovernmental organisation affiliated with the United Nations and based in the Netherlands.
The fund aims to raise a total of $75M (approximately €63.8M) in capital.
Michael van den Berg, Investment Director, ACT Fund, says, “This partnership with Invest International is a major step forward in our commitment to transforming agricultural value chains in emerging markets. We are especially pleased to partner not only with Dutch finance, but also with Dutch innovations — drawing on the expertise of the world’s second-largest exporter of agricultural products. Together, we are unlocking capital for businesses that are driving sustainability, inclusion, and long-term resilience in global food systems.”
Invest International’s cornerstone investment has been crucial in achieving the fund’s financial closure and supporting the launch of its operations.
Provide working capital loans to SMEs
The fund will offer affordable working capital loans to small and medium-sized enterprises (SMEs) focused on sustainable agriculture.
According to the funds, these businesses are important for connecting small farmers to global markets and promoting eco-friendly farming practices, which benefit both the economy and the environment.
The Dutch role in the fund includes more than just managing it, such as:
Financing of investees with Dutch ownershipFinancing of investees supplying Dutch agri-trading companies;Financing of investees utilising Dutch processing companies for European distribution.
To receive the full investment from Invest International, the fund must have at least 20 per cent Dutch content.
The ACT Fund plans to make nearly 70 investments, each between $1.5M and $5M.
Additionally, the Fund aims to raise $10M for Technical Assistance. This money will help promote regenerative agricultural practices and support local stakeholders.
The goal is to improve the livelihoods of about 275,000 farmers over the lifetime of the fund.
Invest International: Focus on Dutch solutions for global challenges
Based out of The Hague, Invest International supports Dutch solutions that address global challenges through strategic investment and project development.
By combining innovation, entrepreneurship, and collaboration, the organisation works with businesses, governments, and investors to finance initiatives that contribute to the Sustainable Development Goals (SDGs) and help build sustainable markets for the future.
Michiel Slootweg, Director Private Sector at Invest International, adds, “With our cornerstone investment in the ACT Fund, we’re proud to support the transition to regenerative agriculture in emerging markets. By combining impact-driven finance with Dutch sector expertise, we help unlock capital for SMEs that are building resilient, inclusive food systems — and strengthen global value chains in the process.”