National Foods offering credit facility to farmers

The National foods limited (NFL) is offering a credit facility to farmers who can account for $5 000, $10 000, $30 000, $100 000, depending on built up capacity of fowl runs or feedlot.

 A communique sent to farmers states that for poultry for example, a farmer states the number of broiler chicks that he/she wants to produce/batch then National foods technical team calculates the cost of the chicks and feed required to produce the birds and therefore the resultant figure is what the farmer will apply for.

"An account is opened...for beef, farmer states the number of cattle in the feedlot, and National foods team calculates the feed required," reads the communique.

"The farmer should already have a ready market for the finished product, such that immediately the product is sold and NFL regains the capital borrowed to the farmer. the account is usually 60 days (for both poultry and beef although accounts differ."

The communique states that farmers should pay back before the end of the 60 days...using broiler chicken as an example; if a farmer wants to produce 10 000 birds/cycle, farmer applies for an account for $30 812 (farmer gets feed, chicks) and the birds take 5 weeks to slaughter using NFL Triphase feeding regime.

"At 5 weeks (35 days), the farmer will off take birds to market and get paid back usually within a period of one week....then farmer pays back NFL ONLY the borrowed capital ($30 812 in this case)....if NFL assesses and concludes that client is managing his/her account well, then client can apply for credit limit increse," reads the communique.

"Anyone (indivuidual/company) can apply for the account......Formalities when opening account are: fill in a credit application form provided by NFL; provide collateral (although unsecuritized accounts can be opened, chances of being declined are high, unless farmer is now applying for very small figures); collateral can be in the form of land; a house; share; bank guarantee; etc) as long as the name of the person applying is on the tittle deed/submitted collateral;"

The communiques states that a copy of id for individual or all listed directors if company; letter of agreement with market; CR14 and CR6, certificate of incorporation if company.

Opening an account only take 2-4weeks from day of submission of applications.

Agrodealers and Stockfeeds Agents can also apply.

For more information farmers can contact: Cleophas Mlambo - 0782869611 or Whatsapp - 0734440574...email: cleophasml@natfood.co.zw