Pictured above: Matthew Anwyl
Arable farmers thinking of building new storage, buying
machinery or processing equipment could access discounted borrowing
from the Agricultural Mortgage Corporation (AMC) if they act
quickly.
AMC has negotiated access to a £250 million EIB (European
Investment Bank) investment fund which can subsidise eligible loans
with a significant discount of 0.8 per cent off their normal loan
margin.
"We have already seen a high level of interest from arable
farmers who see this as an opportunity to invest in their farm
businesses," said Matthew Anwyl , managing partner of AMC agents
Berrys at Shrewsbury.
"I would urge those farmers who want to make the most of the
offer to get in touch with us as soon as possible to discuss their
individual requirements."
The EIB scheme comes at an ideal time for cereal and other crop
growers.
"Higher cereal and oilseed prices have given more growers the
confidence to invest in expanded facilities or more efficient
systems. This source of funding has come at a time when interest
rates are already at historically low levels," said Matthew. "Now
could be a good time to invest in the business to help mitigate
future price volatility, the likely reduction in single farm
payment income and to ensure it is less exposed to higher input
costs."
The range of investments the discounted funds can be used for is
extensive and includes new or expanded grain, potato or other crop
stores. Crop drying and handling systems are also eligible along
with vegetable processing lines, installation of a reservoir and
irrigation infrastructure or to undertake field drainage schemes.
The scheme also covers machinery purchases including combine
harvesters and tractors and renewable energy projects such as
photovoltaic panels, wind turbines and anaerobic digesters.
"The EIB scheme, along with higher prices and low interest
rates, gives farmers the opportunity to invest in their businesses
for the long term," he said. There are, however, some eligibility
criteria that must be attained and each case will need to be
discussed with AMC on a proposal by proposal basis."
"However, I would urge growers to act quickly in order to avoid
missing out on this significant opportunity to access discounted
EIB funding."
For further details contact Matthew Anwyl at Berrys on 01743
271697 or email matthew.anwyl@berrybros.com or visit www.berrybros.com