How To Get Farmers Loan To Enhance Your Piggery Farm in Nigeria

How To Get Farmers Loan To Enhance Your Piggery Farm in Nigeria

Nigeria’s agricultural industry has a lot of untapped potentials and is currently underutilized. As a result, over the past ten years, the government has given it a lot of attention. There are currently a number of loans available in Nigeria for farmers to help them with their operations and expand the economy overall. We’re going to look at the loans available to Nigerian farmers in this article.

These loans are for farmers in Nigeria running any kind of agriculture business, including a piggery farm. Below is a list of Farmers Loans For Nigerian Farmers.

Also Read Types And Functions of Pens in a Piggery Unit – All You Need To Know

List Of Farmers Loans For Nigerian Farmers in 2022

1. Bank of Agriculture Loans

The Bank of Agriculture, also known as the “growers bank,” is a government-approved institution whose goal is to provide banking services, financial loans, and guidance to Nigerian farmers. The Central Bank of Nigeria regulates the bank, which is under the direction of the Federal Ministry of Agriculture. SME loans, cooperative and planter loans, agricultural microloans, non-agricultural microloans, and agribusiness loans are some of the loans provided by the Bank of Agriculture.

BOA Functions

Provision of agricultural credit to support all agricultural value chain activities.
Provision of non-agricultural microcredit
Savings mobilization
Capacity development through the promotion of co-operatives, agricultural information systems, and the provision of technical support and extension services.
Provision of opportunities for self-employment in rural areas, thereby reducing rural-urban migration.
Inculcation of banking habits at the grass-roots of the Nigerian society.

In order to apply, kindly visit their official website at https://www.boanig.com/

2. Commercial Agriculture Credit Scheme (CACS)

The Central Bank of Nigeria (CBN) and the Federal Ministry of Agriculture jointly developed the Commercial Agriculture Credit Scheme (CACS), a loan program, to support and hasten the development of the nation’s agricultural sector.

The Commercial Agriculture Credit Scheme (CACS) loan, which will distribute 200 billion naira (N200,000,000,000) to successful applicants, is therefore easily accessible to anyone who owns a business in the agricultural sector. Check out the GTBank CBN CIFI loan application process as well.

Features of CACS loan

The maximum limit for medium and large scale private businesses is two billion naira (N2,000,000,000) while State Governments has no limit.
Any private sector entity that wishes to participate must have at least a fifty million naira (N50,000,000) worth of farm asset. This should not in anyway have the cost of farm land attached to the base worth.
In the case of State Government Irrevocable Standing Payment Order is required.

3. Agricultural Credit Guarantee Scheme Fund (ACGSF)

This initiative, developed by the Federal Ministry of Agriculture and overseen by the Central Bank, offers marketable banks that lend to growers a 75 percent guarantee on their loans.

Interest, debit, the Tone-Help Group Relation Banking, and the Trust Fund Model are among the products that the ACGSF offers. Interest Rates are granted by Interest Debit. Tone-Help Group Relationship Banking promotes group support for farmers, and the Trust Fund Model supports the security for loans provided by farmers.

To apply for this loan, kindly visit https://www.cbn.gov.ng/devfin/acgsf.asp

4. Agricultural Credit Support Scheme (ACSS)

The Bankers Committee actively supports and participates in the Federal Government’s and Central Bank of Nigeria’s initiative, the ACSS, which has a prescribed fund of N50.0 billion.

The ACSS was introduced to give farmers the tools they need to take advantage of the agricultural sector’s untapped potentials, lower inflation, lower the cost of food production, produce surpluses for export, boost Nigeria’s foreign earnings, and diversify its source of income. At the federal capital territory (FCT) and state levels, State Implementation Committees (SICs) have been established to make sure that the scheme’s goals are realized without difficulty. At the national level, the scheme is administered through a Central Implementation Committee (CIC).

Also Read Top 40 Agriculture Business Ideas for Aspiring Entrepreneurs

How To Apply for Loans for Farmers in Nigeria

The application processes for the various loan types vary. In order to find out how to apply, you should consult the official release of the institution handling your preferred loan. There is no set process for applying for loans for Nigerian farmers.

Summary

You should try to take advantage of the loans that are available in Nigeria for farmers as a farmer. Small-scale farmers looking to grow their businesses, whether they are into piggery farming, poultry farming, or any kind of agriculture business, will find these loans to be particularly helpful. All in all, before committing, you should research the loans that are offered and make sure they are the perfect fit for your needs.