The Agricultural Competitiveness Enhancement Fund (ACEF) Program aims to help increase the productivity of farmers and fisherfolk and their cooperatives and associations, and micro and small enterprises by providing financial assistance for the acquisition and establishment of agricultural production and processing facilities, farm inputs and farm improvement.
Eligible Borrowers
- • Individual farmers and fisherfolk
- • Micro and Small Enterprises (MSEs)
- • Farmers and Fisherfolk Cooperatives and Associations
- • Conduits
Loan Purpose
- • Purchase of farm inputs and equipment
- • Acquisition/ establishment of machineries, equipment and facilities
- • Purchase of raw materials/inputs
- • Working capital necessary for the operation of the facilities and equipment to be acquired
- • Relending to individual farmers and fisherfolk
Loanable Amount
- • Direct Lending
- ◦ 90% of TPC, or not to exceed P1 M for (individual farmers), and P5 M for coops and associations, and MSE)
- • On-Lending
- ◦ Rural Banks (RBs) and Cooperative Banks (CBs) - Net borrowing capacity
- ◦ Farmers & Fisherfolk Cooperatives & Associations - Up to ₱1.0M per member
Interest Rate
- • STL & TL
- ◦ Direct Lending – Two percent (2%) p.a.
- ◦ On-Lending – Zero percent (0%) provided that pass-on rate to farmer and fisher members is not more that six percent (6%) p.a.
Collateral Requirements / Credit Enhancers
- • Production Loan
- ◦ Security interest over insurance proceeds
- ◦ Security interest over expected produce
- • Acquisition of Fixed Assets
- ◦ Security interest over object of financing and/or over other hard collaterals
- ◦ Security interest over expected produce
- ◦ Security interest over insurance proceeds
- • Establishment of Facilities
- ◦ Real Estate Mortgage (REM) on the land/project site (applicable only to establishment of facilities/buildings)
Documentary Requirements
- • Individual Farmers and Fishers
- a. Loan Application
- b. Simplified Business Plan or Farm Plan and Budget
- c. Sworn affidavit of no outstanding loan from LANDBANK and any lending institution for the same project
- d. Applicable permit/s from concerned LGU or government agency to operate the project/s for financing including business permit
- e. Proof of land ownership/lease agreement, as applicable
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- • Micro and Small Enterprise
- a. Loan Application
- b. DTI/SEC registration certificate
- c. Current year Business Permit
- d. Bio-Data of owner and/or partner
- e. Business Plan or Farm Plan and Budget
- f. Sworn affidavit of no outstanding loan from LANDBANK and any lending institution for the same project
- g. Applicable permit/s from concerned LGU or government agency/ies
- h. Audited or interim Financial Statement
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- • Farmer and Fishers Cooperatives and Associations
- a. Loan Application
- b. CDA/SEC registration certificate
- c. Bio-data of incumbent Officers and Board of Directors with ID
- d. Board Resolution authorizing the Coop/Association to borrow and designating authorized signatories
- e. Business Plan/Consolidated Farm Plan and Budget for Organization
- f. Sworn affidavit of no outstanding loan from LANDBANK and any lending institution for the same project;
- g. Applicable permit/s from concerned LGU or government agency/ies
- Audited or interim Financial Statement
