The role of the agricultural bank in supplying agricultural machinery and tools
According to Shaman News, the supply of agricultural machinery and tools in the country requires an investment of 21 thousand billion Rials annually. For this reason, the Bank of Agriculture provides the facilities needed by farmers in the field of product production to the applicants. In 1400, this bank played an important role in supporting the development of agricultural mechanization with the aim of increasing the production efficiency of the agricultural sector by paying 33 thousand billion Rials to facilitate the purchase of agricultural tools and machines. This facility amount was paid for the purchase of more than 21,000 agricultural tools and machines, which has grown significantly compared to 2019.
Iran has a dry climate and weather conditions, and with limited water resources, it needs to manage water and soil resources, so the approach of the officials of this center is to protect these valuable resources and develop new technologies in the field of agricultural production, which should be in a path Let’s move to use methods in production to meet domestic needs in modern agricultural tools and equipment and export them abroad.
One of the main and correct actions of the Bank of Agriculture in order to support the production of agricultural products and prevent the importation of dear farmers’ products is to provide agricultural tools and machines. The statistics show that the payment facilities in the agricultural mechanization sub-sector have increased compared to last year and there are no restrictions in terms of resources to pay the facilities to the applicants in the agricultural mechanization sub-sector, and the payment of the facilities is made after filing the file and completing the documents.
Also, a new credit line with the amount of 7500 billion Rials has been established in the field of mechanization, which is provided to the applicants through the Agricultural Bank, the facilities needed by farmers to buy tools and mechanized facilities.
According to the announcement of the head of Iran’s Agricultural Mechanization Development Center, with the opening of a 7500 billion Rial credit line, the facilities needed by farmers to buy modern machines for the development of mechanization in the country have been provided. This facility is paid with an interest of 15% for the purchase of mechanized agricultural equipment, and with the contribution of 20% from the farmers, its repayment is five years for agricultural machinery and light machines and seven years for heavy machines.
This line of credit is equivalent to the facilities that have been paid in this sector in the last five years and is paid with a joint memorandum with the Agricultural Bank for the purchase of tractors, combines and optimal management in agriculture. The manufacturer and seller of mechanized machines and tools will be deposited, and some tools and equipment will be delivered to the applicant after payment, and some will be delivered to the applicant within two to four months at most.
Payment of agricultural facilities this year with 72% growth compared to last year has greatly helped to improve the condition of farmers.
In the field of agricultural tools, soil tillage and spraying equipment, medium and semi-light tractors, grain combine harvesters, about 95% of the equipment is produced inside the country, but we are still dependent on foreign sources for rice cultivation equipment, horticulture, heavy tractors and cotton harvesting equipment.
The system of mechanized indicators is different according to the climate and weather conditions, and a country like Japan, which produces small parts, produces energy products of 12 to 14 horsepower per hectare, in Europe, which has time constraints and the volume of machines is high, three Five horsepower, in Australia it is two to three horsepower per hectare and in Iran it is 1 to 1.1 horsepower per hectare. We have not reached the position, but this credit line can accelerate this process.
Some agricultural machines that are not produced in the country are given the first and second currency priority, while in the past years, next to non-essential goods such as toothbrushes and razors, they were given the 8th and 9th currency priority. Special attention has been paid.
It should be noted that the necessary standards must be observed in the agricultural machines that enter the country, and in this regard, a memorandum of understanding has been concluded with the standards organization so that the testing of agricultural machines has a performance certificate and every mechanized device that enters the country is of a standard that Private and technical engineering companies are used for the test.
Credit priority, low interest rate and 15% rate of mechanization facility is one of the special support measures of the Agricultural Bank and a good opportunity for producers. For example, we remind you that in order to support the agricultural sector and the localization of agricultural tools, the Bank of Agriculture supported Barchin Kar Company, one of the companies active in the production of agricultural tools and machinery in Yazd province, by paying 222 billion Rials.
The increase in the resources of the Agricultural Bank and crossing the border of 1000 billion Rials is a sign of people’s trust and the increase of the bank’s ability to support the growth of production in the agricultural sector.
It is worth noting; Efficient management of production inputs, reduction of production costs, increase in productivity of production factors, management of water consumption, increase in quantity and quality of agricultural products and finally sustainable development of the agricultural sector are among the fundamental and vital effects of the development of mechanization in the agricultural sector.