Specialized Loans
Objective
This is a secured loan which allows flexibility for the investment and personal needs of the growers in accordance with Sugar Cane Growers Fund Act for a longer term. The investment includes acquisition and improvements of the farm, acquisition and repairs for plants and machines in the main. The whole of the objective of the product is to improve the production, livelihood of the growers and the sugar cane industry as whole.
The security includes but not limited to Mortgage over the farmlands and Security Agreements (over crop and chattels.
Limit: Max $75,000.00 and above is referred to the Board of SCGF.
Purpose
Acquisition and improvements of the farm, acquisition and repairs for plants and machines, planting of Sugar Cane, Repair of Farm Equipment, House Repairs, Personal Needs such as: Education, Medical, Funeral, Wedding Expenses, Drainage and Road upgrades, Weedicide Purchases, Borehole Drilling Expenses and Purchase of Working Bullocks and Horses, and any other needs that fall within the provisions of the Act.
Eligibility
Commitment Ratio of Loan Repayment to Net Farm Income to be below 60 percent, based on an average of past 3 years’ production and/or the forecast of the current year cane production.
Interest Rate
Ranges from 3% -6% per annum depending on the purpose [Refer Interest Index Table] and is subject to change from time to time with advance advice to the growers.
Term
Maximum Term of 15 Years and to be fully paid 5 years before lease expiry.
Repayment
Annualized Repayment deducted from the cane payments received from FSC. This ranges from 50% to 100% and once annual repayment is met, rest of the proceeds for the season are refunded.
Security
Mortgage over Farm Land, Security Agreement over Farm Crops, Security Agreement over Farm Chattels (tractors, trucks, implements) where needed with Insurance, Personal Guarantees and Irrevocable. Authorities.
Requirements: [Refer to Specialized Loan Checklist]
