Lending tight after Bianfishco fiasco
After Bianfishco reportedly defaulted on its bank debt payments, commercial banks have unanimously ceased the disbursement for seafood companies, putting a lot of companies at the point of the death.
In Ca Mau province, by mid March 2012, a lot of seafood companies had shut down or just kept production at a moderate level. Enterprises have attributed the production stagnation to the lack of materials. However, in fact, the main reason behind this is the lack of capital. Commercial banks have tightened the lending to seafood companies after Bianfishco missed the due debt payments. Some companies even do not have money to pay their workers.