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Farmers unclear on government assistance
Farmers appear to be unaware or unclear about the government loan assistance announced last month to assist those in the agricultural sector affected by the global economic crisis.
Five days after the loan subsidy program came into effect on May 1, only a few farmers had visited their local bank branches seeking subsidized loans.
Most struggling farmers are still approaching local merchants asking for credit to buy agricultural supplies, such as fertilizer, pesticide and seeds for the spring-summer rice season.
Farmer Nguyen Thanh Hung from the Mekong Delta province of An Giang told Tuoi Tre he had not been informed of the government’s interest-free loans for farming equipment and supplies.
Most farmers Tuoi Tre met at agricultural supply shops said they hadn’t heard about the loan assistance.
Vietnamese Prime Minister Nguyen Tan Dung announced the VND160 trillion (US$9 billion) assistance scheme last month.
The package includes interest-free loans for farmers to buy equipment and 4 percent subsidies on loans for farm supplies and home building and repair.
Some farmers who heard of the loans on the radio said they were unable to apply for the assistance because the State Bank of Vietnam had not yet prepared application documents.
Under the loan subsidy scheme, commune or ward authorities will decide which farmers will be eligible for the loans to ensure the equipment is used for farming and not for hire.
Bui Van Thien said he was refused by two sets of local authorities because his home is in An Giang Province and his farm is in Kien Giang Province.
“Who will verify my documents?” he asked.
Farmers also aren’t sure if they are eligible for the loans if they rent land for cultivation.
A state bank official said provincial People’s Committees, the Ministry of Industry and Trade and the State Bank of Vietnam would soon draft the loan guidelines for commune and ward authorities to assess applicants for the loan subsidy scheme.
Van Truong, Duc Vinh
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