Punjab Agro Industries Corporation today signed an agreement with UCO Bank to encourage Agriculture persification particularly through precision farming related to Green House cultivation.Disclosing this here today Jathedar Tota Singh Punjab Agriculture Minister, Punjab said that Punjab Government has taken this initiative to facilitate financing for the setting up of Green Houses by farmers in the state. He said that the Green House Farmers have been facing difficulties in getting the high value projects financed from the Banks & establishment of Green House on one Acre of land costs Rs. 35-40 lacs and Banks are generally hesitant in financing such high value farming operations. He said that this was also the case in Organic Farming therefore as banks are resistant in financing such projects and farmers undertaking Organic Farming are facing the problems.
Jathedar Tota Singh said that to tackle the problems of financing of such projects to promote Agriculture persification in the state Punjab Agro and UCO Bank have decided to work closely and provide requisite finance to the farmers through 182 Branches of UCO Bank in the state. He further said that Punjab Government shall extend 50% subsidy on the construction of Green Houses under National Horticulture Mission and 300 farmers have already setup high tech Green Houses in the state.Mr. K.S. Pannu, Managing Director, Punjab Agro Industries Corporation further briefing about this imitative said that that Punjab Agri Export Corporation (PAGREXCO), a subsidiary of PAIC, is engaged in encouraging and organizing the farmers to undertake Green House cultivation and to forge backward and forward linkages in the production process. He said that constraint of finance is a major bottleneck in undertaking Green House production and to remove this hassle UCO Bank has taken the lead to promote agriculture persification in the state.Mr. V.K. Shrivastava, General Manager, UCO Bank, Chandigarh informed that Bank under the tie-up arrangement shall provide term loan and working capital to the farmers for setting up of Green Houses and adoption of organic farming on commercial scale.MOU with UCO Bank was signed in the presence of Mr. K.S. Pannu, Managing Director, Punjab Agro Industries Corporation Mr. V.K. Shrivastava, General Manager, UCO Bank, Chandigarh, and Mr. Gurkanwal Singh, Director, National Horticulture Mission, Punjab.