Great capital investment in agriculture

​Grapefruit garden planted in the organic direction of farmers in Binh Loi commune, Vinh Cuu district

Over the past time, thousands of billion VND have been poured into agriculture and farmers in the province, contributing to the restructuring and development of agriculture and rural areas to become more modern and sustainable.

Many preferential capital sources

According to the report of the State Bank of Vietnam, Dong Nai branch, by the end of October 2020, the outstanding loans for agricultural and rural development in the province reached over 63 trillion dong, accounting for over 27 , 3% of outstanding loans to the whole province's economy, an increase of nearly 42 trillion dong (increased 196%) compared to the end of 2015. Of the total outstanding credit for the agricultural and rural sectors, there are nearly 10.9 trillion of outstanding loans are not guaranteed by assets, accounting for more than 17% of the total credit balance for the agricultural and rural sectors. Supporting nearly 234.5 thousand customers who are businesses, cooperatives, production households, farm owners ... to borrow money for agricultural production and rural development.

In recent years, a series of capital incentives with low interest rates for agricultural development have also been implemented. Specifically, the results of implementing loans under Decision 68 to support to reduce agricultural losses, since 2014, the whole province has 64 customers with loans with a total loan sales of nearly 41.6 billion VND with interest rate support of nearly 6 billion dong.

However, according to many businesses and cooperatives operating in the agricultural sector, access to loans has not yet met the actual production needs; The application procedure is still cumbersome and complicated. Mr. Ly Minh Hung, Director of Thanh Binh Cooperative for Production and Consumption of Clean Agricultural Products (Thanh Binh Commune, Trang Bom District) commented that banks are currently interested in lending in the agricultural and agricultural sectors. village with abundant loans. However, the access to large, long-term loan packages still has many barriers because there are too many binding conditions as prescribed.

Mr. Hung cited, the cooperative currently needs 8-9 billion VND to invest in packing houses, freezing systems, processing lines of organic waste from primary sources, processing agricultural products into organic fertilizer sources, storage. post-harvest treatment, especially commercial banana incubation ... right in the production area. The cooperative is currently exporting well to fastidious markets and has already had export orders to Europe and has well organized a chain to link the production and consumption of clean bananas to farmers. We hope that banks should consider which projects are feasible that need more flexibility in lending procedures, immediately settling capital sources for cooperatives to promptly grasp opportunities to develop production and promote export for bananas and many other agricultural products.

Continue to clear the procedure

Ms. Nguyen Thi Kim Mai, a farm owner in Dinh Quan district, introduces the specialties of custard-apple with high income at the display of safe agricultural products of the Provincial Farmers Association.

Pointing out problems in loan procedures, Mr. Pham Quoc Bao, Deputy Director of the State Bank of Vietnam, Dong Nai branch, said that in rural areas, collateral is mostly low valuable agricultural land. In some localities, the progress of issuing land use right certificates is slow; Assets formed from projects on agricultural land such as greenhouses, ponds ... have a great investment value but are not granted property ownership certificates on land, making it difficult for customers and banks to valuation and mortgage collateral for loans. The farms were formed spontaneously, the rate of being granted farm economic certificates according to the current criteria was still low. Rural borrowers lack documents and invoices to prove the purpose of capital use ... The fact that enterprises, cooperatives, and production households do not have good access to preferential capital sources is the cause of the mechanisms and policies of The State is sometimes not consistent with reality. According to Mr. Bao, lending to agriculture, farmers, and rural areas is always the priority. Credit institutions are also very interested in administrative reform, simplifying loan procedures to help people and businesses more effectively access loans as well as preferential policies.

With the same point of view, Deputy Director of the Department of Agriculture and Rural Development, Mr. Tran Lam Sinh said that over the past time, a series of supportive policies for agriculture and rural areas have been implemented synchronously and brought into play. . In particular, many programs to support businesses and cooperatives are focused on implementing such as: supporting the application of good agricultural production practices GAP; supporting enterprises to improve their competitiveness, apply an advanced management system, and protect intellectual property; encourage and support to link the production and consumption of agricultural products ... In the new period, the Department of Agriculture will continue to synchronously deploy supporting solutions, especially in accessing preferential capital sources to promote to restructure agriculture, develop agriculture towards a modern and sustainable direction.

According to Mr. Pham Quoc Bao, Deputy Director of the State Bank of Vietnam Dong Nai branch, in the current difficult period, banks and credit institutions are implementing debt rescheduling solutions, adjusting term. new loans and loans share difficulties, accompanying businesses and cooperatives to continue developing production and business.

Phan Anh