Agricultural producers shall have access to credit lines for productive investment

Small agricultural companies shall have access to credit lines at a special interest rate of 30% and 35% to make investments and meet working capital needs, according to a resolution approved today by the Board of the BCRA. These credit lines may be channeled to investment projects for establishment of pastures (including tillage, seeds and fertilizers, among others); agricultural machinery for livestock production; purchase of male and female breeding stock; and improvements to farm infrastructure such as fences, watering places, cattle crushes, corrals and alleys, and irrigation, among others. The working capital lines may be channeled to the purchase of animals for fattening, supplies and services used in reproductive technologies, and supplies and services related to the implementation of sanitary plans. Producers may have access to the lines for productive investment when they are aimed at increasing the productive capacity of cattle meat and/or milk. Beneficiaries stockpiling 5% or more of wheat and/or soybean must undertake to repay the credit line primarily out of the proceeds from the sale of at least such excess stock until the obligation is satisfied. Better Conditions for Foreign Currency Settlement The Board of the BCRA has also decided to extend the term for the settlement of foreign currency from the exports of barley and sorghum to China from 15 to 30 days, due to the particular trade conditions with that country, which entail a special phytosanitary protocol. In addition, local financial institutions may access the forex market to repay their obligations to non-residents resulting from financial guarantees granted to finance those exports.