Deputy Governor of the State Bank Dao Minh Tu affirmed to reduce at least 1% of loan interest for customers when participating in the chain linking 1 million hectares of high-quality and low-emission rice in the Mekong Delta - Photo: DANG TUYET
On November 7, in Dong Thap, the State Bank chaired a conference to launch a preferential credit program to implement the project of 1 million hectares of high-quality and low-emission rice in the Mekong Delta.
Speaking at the opening of the conference, Mr. Dao Minh Tu, Deputy Governor of the State Bank, emphasized that rice is one of the key agricultural export products of our country.
Aiming to make Vietnam one of the pioneering countries in high-quality, low-emission rice production, in 2023 the Prime Minister issued Decision 1490 approving the project "Sustainable development of 1 million hectares of high-quality, low-emission rice cultivation associated with green growth in the Mekong Delta by 2030".
Interest rate reduced by at least 1%/year compared to normal loans
To implement this project, Mr. Tu said that the State Bank has issued mechanisms and policies for preferential loan programs for banks, of which Agribank is the main force, to implement loans.
“The credit program is preferential in nature, so the lending interest rate is reduced by at least 1%, if possible 2-3%/year compared to normal lending. In addition to the reduced lending interest rate, subjects are also allowed to borrow according to the limit appropriate to the production scale and the loan period appropriate to the production and business cycle.
Enterprises investing in the medium and long term will have access to long-term capital. There is no hesitation in not lending in the medium and long term,” Mr. Tu emphasized, and for example, in the case of an enterprise wanting to borrow 1,000 billion VND and needing medium and long-term capital to invest in factories and warehouses, many banks can participate in lending.
In particular, when participating in this chain, according to Mr. Tu, borrowers may not have to use collateral such as houses or assets as collateral like in normal loans. Because participating in this production chain, banks can control cash flow. This is a very important condition, creating maximum favorable conditions for borrowers.
Proposal for medium and long-term loans for 1 million hectares of high-quality rice
At the conference, businesses participating in the project of 1 million hectares of high-quality, low-emission rice said that rice growers, cooperatives and businesses participating in the chain from cultivation, purchasing and exporting rice all benefited. Specifically, Mr. Tran Truong Tan Tai - General Director of Vietnam Rice Company Limited - said that the cost of rice production is low, the selling price of rice is 1,000 VND/kg higher than rice grown in the usual way.
As a farmer after more than 1 year of growing clean rice, talking to Tuoi Tre Online , Mr. Vo Thanh Hai, Hamlet 4, Lang Bien Commune, Thap Muoi District (Dong Thap), said that the amount of rice seeds sown for 1 hectare has decreased to 80kg instead of 120kg as before.
The total estimated cost for 1 hectare of rice cultivation was previously 1.8 million VND, now it is 1.2 million VND. Meanwhile, rice productivity has also increased. With the current rice price of over 8,000 VND/kg, the profit from rice cultivation under this project is up to 50% instead of 30% of traditional rice production as before.
Mr. Nguyen Khac Duy, deputy director of Chon Chinh Company (Dong Thap), said that rice with controlled pesticide residues can be sold to European and American markets, with prices 1,000 - 2,000 VND/kg higher than usual. As for businesses, when rice quality is stable, they boldly sign export orders to large markets such as the US, Europe, Canada, etc.
However, to feel secure in doing big business such as investing in warehouses, purchasing and exporting rice under the project of 1 million hectares of high-quality and low-emission rice, businesses have a common proposal for commercial banks to lend medium and long-term capital.
Chon Chinh Company Limited wishes to borrow an additional 150-200 billion VND from the bank with an interest rate of 4-5%/year.
This capital will be used to purchase rice and especially medium and long-term capital to expand the storage area to double the current 50,000 tons and the drying system to a capacity of 1,000 tons/day. Because at harvest time, the rice output is purchased in large quantities, so it must be dried to ensure stable and uniform quality and quantity of rice.
Regarding the capital needs of enterprises, Ms. Phung Thi Binh, Deputy General Director of Agribank, committed to fully meeting the capital needs for all stages from planting, purchasing, processing, etc. of the subjects participating in the project. The loan limit is based on the needs of customers.
“The interest rate for this chain loan from Agribank will be at least 1%/year lower than the normal loan rate. Currently, the short-term loan interest rate is 6%/year, so borrowers for this program will enjoy an interest rate of 5%/year,” Ms. Binh emphasized.
Comment (0)