DA offers interest free financing, incubation programs for startup agripreneurs to promote farming among Filipino youth

Agriculture Secretary William Dar. | Irene R. Sino Cruz

CEBU CITY, Philippines — The Department of Agriculture (DA) is offering a zero-interest financial program for those who plan to venture into agriculture and agribusiness.

Agriculture Secretary William Dar said that the facility aims to promote agribusiness for startup farmers or those who wanted to level up their agri-business.

The two programs, Young Agripreneurs Loan Program (YALP) and the Micro and Small Agribusiness Loan Program (MSALP), implemented through the Agricultural Credit Policy Council, has an initial budget of P2 billion.

Young students and entrepreneurs could tap the financing program to start agriculture, fishery or agribusiness ventures.

Those aged 15 to 30-years-old can borrow up to P500,000 with zero interest and payable in five years under the YALP loan facility.

Agri-preneurs belonging to micro and small enterprises can also tap the MSALP to finance their working capital or for fixed asset acquisition. Loanable amount will range from P300,000 to P15 million.

Aside from providing funding, the two programs will also include mentoring support, Dar said in an interview on Tuesday, January 28, 2020.

Dar said that DA is also implementing the agribusiness incubation program, targeting the millennials and non- millennials.

The two financing programs will be implemented by the DA-ACPC through the Land Bank of the Philippines (LBP), ACPC-accredited cooperative banks, rural banks, cooperatives, and viable non-government organizations (NGOs).

Through these programs, DA hopes to encourage more Filipinos to go into farming.

Presently, the average age of farmers is between 56 to 59-years-old. /dcb