The winegrowers and winemakers will be able to purchase the equipment they need in installments within a news component of the Wine Sector Restructuring Program that was launched on February 5. The financing is provided in more advantageous conditions than in the case of a classical loan because the applicants do not need pledge and the financing conditions are favorable, IPN reports.
The Program’s executive director Iurie Brumarel told a news conference that €10 million will be allocated for this component. The minimum financing sum will be €25,000, while the money will be disbursed through ProCreditBank, Mobiasbanca, Comertbank and Energbank. The list of banks could be extended, especially with institutions with experience in lending to agricultural economic entities.
“Through this Program, which is financed by the European Investment Bank with €75 million, direct loans to the value of 42 million were already provided to winemakers and winegrowers. We are now launching the second financing component. It is a real solution for the producers that do not have what to pledge to buy different equipment and machinery and to modernize production,” stated Iurie Brumarel.
The financing is intended for peasant farmsteads, individual enterprises, cooperatives, limited liability companies and joint stock companies. The interest rate varies between 3.75% and 6%, which is much lower than on the market. The producers can purchase tractors, trucks, different types of cultivation and processing machines, filters and pumps.
In the same news conference, Dumitru Munteanu, director of the National Office of Vine and Wine, approved of the launch of the new financing component, saying it helps solve a problem faced by many agricultural producers – lack of pledge. “This is an opportunity for the large companies too as many of these already mortgaged what they had to take out other loans,” he stated.
The Wine Sector Restructuring Program “Way of Wine” was designed by the Government of Moldova and the European Investment Bank to remove the structural vulnerabilities from the wine industry of Moldova. The goal of the program is to contribute to the recovery of the winegrowing and winemaking sector of the country and to promote wines with protected designations of origin and protected geographical indications.
