Agricultural Bank Backs Dairy Project17 September 2012
RUSSIA - The Russian Agricultural Bank, Rosselkhozbank is to increase the credit limit for the Rusian Dairy Company, Rusmolko, to 5.3 billion rubles from 1.4 billion rubles.
This will be one of the largest credit lines in the Russian dairy industry.
The first part of the approved limit of 3.5 billion rubles will see 1.1 billion rubles go towards the purchase of agricultural machinery and equipment, as well as land, 0.8 billion rubles for working capital and 0.2 billion to be spent on the purchase of breeding stock.
There are plans to issue the next part of the approved limit of 1.8 billion rubles to build a modern dairy complex in Nizhnelomovsky near Penza region, as well as for the purchase of machinery and equipment.
Credit resources from the agricultural bank will be directed to one of the largest in the Russian agriculture projects for Rusmolko. the leading producer of milk in the country with a capacity of more than 100,000 tons a year.
Chairman of the Board of the Russian Agricultural Bank, Dmitry Patrushevsaid: "The bank's credit policy is primarily aimed at supporting long-term investment projects related to the development of modern enterprises applying high technology innovation. We believe that this project will help to strengthen the dairy industry's production capacity and integrated development of the region's economy."
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