Video: Agricultural Product Processors to Access More Affordable Loans

Agricultural product processors can now attract loan funding under unprecedented favorable conditions. This is reported by the Information and Public Relations Department of the Ministry of Agriculture of the Republic of Armenia.

A subsidization program for interest rates on loans has been developed for specific processing companies.

1. Targeted loans provided as a result of state subsidization will be allocated to entrepreneurs at an annual interest rate of just 3%. The maximum amount of the loan granted to each company is up to 1.5 billion drams. The repayment period is a maximum of one year.

It is worth noting that the subsidized loans must be directed exclusively to prepayment or payment for the cost of agricultural raw materials, including fruits and vegetables, grapes, and milk.

The ministry encourages contractual relationships, thus only companies that work with farmers on a contractual basis can benefit from the loans.

Furthermore, the loan is granted to the processor, while the funds are transferred directly to the account of the agricultural enterprise.