Agribank’s biomass financing scheme now available
Agribank this week announced that its recently launched biomass value chain financing scheme is now available to the public.
This special scheme is aimed at meeting the strategic objective of loan book diversification coupled with the Banks mission to continuously offer innovative agricultural financing solutions.
According to Agribank, the biomass industry has the potential to improve the streamflow of underground water, refine rangeland productively, create sustainable employment and serve as an opportunity for farmers to diversify revenue streams.
Under the Biomass value chain financing scheme, an applicant (legal entity or individual) 1) can be the owner of the farm or leasing a farm from which he/she can harvest biomass to produce charcoal. 2) can be a processor who buy charcoal to process and pack for the end market (i.e retail shops/ restaurants or export/import companies for charcoal. Both applicants are required to have a permit from the Ministry of Environment, Tourism and Forestry, in order to harvest the biomass for charcoal.
For charcoal producers, the facility offers loans for working capital (including food rations for the employees), tractors/trailers, storage sheds, de-bushing equipment, workers housing including clean water & sanitation. As for charcoal processors, financing of working capital, general equipment and vehicles, maintenance workshop, office to operate from, charcoal processing plant, warehouse and equipment is offered.
For more information, and to apply for the biomass financing scheme, applicants, can visit any of the Agribank’s offices countrywide, or the Bank’s website.