Agribank introduces biomass industry loan
Agribank has introduced yet another product to its portfolio: a loan scheme for the biomass industry.
The deputy chairperson of Agribank board of directors, Dagmar Honsbein, announced this during the official inauguration of Agribank’s fully fledged branch in Gobabis on Friday.
This innovative financing product will support the conversion of bush into valuable wood-based biomass, which in turn can render charcoal, furniture, bush-based animal feed, fuel pellets and firewood.
Honsbein said for years, many farmers used the bush biomass or wood to augment farm income by producing charcoal as an alternative when livestock was not possible.
“We expect the industry to create 375 direct employment opportunities from harvesting and processing in the first year and 950 jobs in the second year.
A number of indirect jobs would be created in the logistics, services, and agricultural sectors.
Socially and environmentally seen, land productivity would be increased to over 92 000 hectares per annum while tourism related benefits would be realised due to ecosystem improvements, increased groundwater and soil moisture related benefits, improved food security and increased resilience to climate change,” echoed Honsbein.
The sustainable utilisation of bushes known to cause bush thickening will unlock a considerable agricultural and bio economy sector, which will eventually boost the lives of the citizens.
On his part, regional governor Pijoo Nganate called on the bank to entice beneficiaries with untapped opportunities in the region such as venturing in product development that will substitute imports of goods and services.
He further said, “as per the regional understanding and self-introspection, Omaheke has a competitive advantage in both the livestock and agricultural sectors.”
Nganate further said the bank should be closing the inequality gap through wealth and property creation by introducing loans to youth and women in the agricultural sector.
Agribank offers solutions to both communal and commercial farmers, from cultivation of plants, rearing and processing livestock to end products for various markets and segments.
The new biomass loan scheme will officially be available to the public from 1 November 2021.