Jeonnam Province Supports Low-Interest Loans through 'Eco-Friendly Agriculture Promotion Fund'

[Muan=Asia Economy Honam Reporting Headquarters Reporter Yoon Jamin] Jeonnam Province announced on the 24th that it will provide 7.2 billion KRW in low-interest loans from the ‘2022 Eco-friendly Agriculture Promotion Fund’ to 46 farms.

This initiative was promoted to expand the market channels and enhance the competitiveness of eco-friendly agricultural products.

The Eco-friendly Agriculture Promotion Fund is intended for farmers and agricultural corporations who have practiced eco-friendly farming while residing in the province for more than one year. It is used to provide loans for operating funds and facility funds. The interest rate is 1% per annum.

Operating funds are used for purchasing raw materials for eco-friendly agricultural products, developing packaging designs, and purchasing agricultural materials, supporting 28 farms with 5.3 billion KRW.

Facility funds are used for constructing seedling nurseries, cold storage, processing and distribution facilities, and installing facility greenhouses, investing 1.9 billion KRW in 18 farms.

The support limit is 100 million KRW for individuals and 500 million KRW for corporations. The repayment conditions are a 2-year grace period followed by 3 years of equal installments for operating funds, and a 2-year grace period followed by 6 years of equal installments for facility funds.

For projects such as fruit trees where income generation is delayed, a 3-year grace period followed by 7 years of equal installments is allowed.

A Jeonnam Province official said, “The Eco-friendly Agriculture Promotion Fund is used to support various fields to improve the competitiveness and productivity of eco-friendly agriculture. We will strive to ensure that the fund becomes the foundation for stable production and distribution of eco-friendly agricultural products for farmers and corporations practicing eco-friendly agriculture.”

Meanwhile, the Eco-friendly Agriculture Promotion Fund has been established since 2005 to ensure stable growth, development, and competitiveness of eco-friendly agriculture in the Jeonnam region. From 2019 to 2021, Jeonnam Province provided loans totaling 18.8 billion KRW to 109 farms.

This content was produced with the assistance of AI translation services.