Scaling Local Solutions to Reduce Child Malnutrition in Cambodia
Danish Care Foods
- Phnom Penh, Cambodia
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Demand for Danish Care Foods’ Ready-to-Use Therapeutic Food (RUTF) is increasing as major international NGOs scale malnutrition response across Cambodia. To meet earlier-than-planned demand, DCF must commence production from mid-March 2026. This loan provides working capital to bulk-purchase fish and key inputs during the current processing season, reducing unit costs amid recent price increases, increasing production capacity, and ensuring reliable distribution to contracted partners.
- 10 Lenders
Committed
- 6 months
Loan Period
- 10%
Interest Rate
- BACKGROUND
Loan summary
Danish Care Foods (DCF) specialises in the production of therapeutic and supplementary nutrition products that address severe acute malnutrition in Cambodia. Its fish-based Ready-to-Use Therapeutic Food (RUTF) is currently utilised by the Royal Government of Cambodia and major international NGOs to treat children suffering from malnutrition.
Due to early procurement discussions with existing customers for the 2026 program year, DCF is required to commence operations earlier than originally planned, with processing starting as early as mid-March 2026. In parallel, DCF is currently in its annual fish powder processing season and is on track to complete the season with approximately 500–750 kg of fish powder (5 – 6 Tones fresh fish).
The proposed loan will enable DCF to strengthen its own raw-material procurement through bulk purchasing, allowing the company to reduce unit costs and manage recent price increases in key inputs driven by global supply disruptions. Increased production capacity will ensure DCF can meet confirmed local demand from INGO partners with contracts in place, while also positioning the company to supply regional and international markets.
By stabilising costs, securing early-season inputs, and scaling production capacity, this investment supports DCF’s ability to reliably serve national nutrition programs and international partners, while contributing to efforts to address Cambodia’s high levels of child wasting and severe acute malnutrition and demonstrating readiness to scale to neighbouring countries facing similar nutrition challenges.
Borrower's mission
After an extensive research and design phase, including in-depth consumer testing, Danish Care Foods developed a new fish-based wafer snack—Nutrix—to treat severe acute malnutrition (SAM) in children. This innovation was developed in collaboration with UNICEF, the French National Research Institute for Sustainable Development (IRD), Copenhagen University, and the Royal Government of Cambodia. Nutrix is a ready-to-use therapeutic food (RUTF) designed for local production and large-scale distribution to address childhood malnutrition in Cambodia.
As an affordable, snack-like therapeutic food, the Cambodian government distributes Nutrix through local health facilities to treat children under five suffering from SAM in remote and low-income communities. It is estimated that between 60,000 and 90,000 children in Cambodia require specialized medical treatment annually, including access to therapeutic foods.
Nutrix is now being scaled and rolled out to additional provinces across Cambodia, with multiple INGOs placing orders, and the Royal Government of Cambodia allocating significant funding to continue Nutrix procurement and to support the development of new, market-based RUTF innovations.
The activities funded by this loan are helping to achieve the above Sustainable Development Goals as defined by the UN.
Intermediary's experience with impact enterprises
MIV is a majority Khmer and women owned Entrepreneur Support organisation (ESO) focussed on supporting impact ventures in Cambodia access demand led and adaptive financing. Our Studio specialises in supporting Gender Equality, Disability, and Social Inclusion (GEDSI)-focused Small and Medium Enterprises (SMEs), providing tailored support to help them achieve sustainable development, enhance climate resilience, and drive economic growth through innovative solutions, improved operational efficiency and policies, to help them access capital.
- IMPACT
Impacts and how they are measured
In 2026, Danish Care Foods will provide more than 100 boxes of RUTF free of charge to the Ministry of Health, reinforcing its commitment to national nutrition efforts. Compared to 2025, overall RUTF production is projected to increase by approximately 20%, reflecting both growing demand and expanded production capacity. Production volumes across product lines are expected to scale significantly year-on-year: RUTF: increasing from 15,000 packs in 2025 to 18,000 packs in 2026 RUSF: increasing from 149,000 packs in 2025 to 200,000 packs in 2026 Num Nutrii: increasing from 5,000 packs in 2025 to 50,000 packs in 2026, representing a tenfold expansion These increases demonstrate DCF’s readiness to scale production responsibly while supporting government partners and meeting rising demand from international NGOs.
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