Poultry farm owners want rescheduling of bank loans
Thursday, 16 April 2009
FE Report
The country's poultry farm owners, badly hit by the recent bird-flu virus, have sought the government initiative to make fresh credit available at lower rates of interest and reschedule bank loans for salvaging the Tk 150-billion industry.
At a meeting with Finance Minister AMA Muhith, the Bangladesh Poultry Industries Association (BPIA) also urged Wednesday the government to establish a modern laboratory facility to help prevent the local poultry farms from the attack of deadly avian influenza virus - bird flu - in future.
The BPIA leaders, led by its president Syed Abu Siddique, informed the finance minister that nearly 40 per cent of the country's 150,000 poultry farms have already been closed following the outbreak of bird flue, leaving around 2.0 million people jobless.
The country's poultry sector suffered losses to the tune of Tk 75 billion in the fiscal year (FY) 2007-08 mainly because of the avian influenza, they mentioned.
Production of eggs by poultry farms declined to 1.92 billion pieces in 2008 from 3.56 million pieces in the FY 2005-06 while that of poultry food also fell by 0.6 million tonnes to 1.2 million tonnes during the same period.
Considering the situation, the association underscored the urgent need for strengthening disbursement of loans in favour of the affected poultry farms through rescheduling their previous loans.
Like the agri-credit, the poultry sub-sector can be provided loans at a low rate of interest, the apex body of poultry farms suggested.
They, however, informed the finance minister that banks were now charging interest rate at 15 per cent and above on the credit for poultry sector.
Apart from the low-cost credit support, the BPIA also demanded of the government to take necessary steps including imposition of tax on foreign-owned poultry units in order to discourage foreign investment in this particular sector.
The association leaders said investment in the country's poultry industry would go up to Tk 300 billion, creating nearly 10 million new jobs provided necessary supports are ensured.
The finance minister said the government will consider their proposals.
Also terming the poultry industry a potential sector in respect of generating employments and meeting the growing demand for protein, Mr Muhith said: "We are giving special priority toward its development."
The country's poultry farm owners, badly hit by the recent bird-flu virus, have sought the government initiative to make fresh credit available at lower rates of interest and reschedule bank loans for salvaging the Tk 150-billion industry.
At a meeting with Finance Minister AMA Muhith, the Bangladesh Poultry Industries Association (BPIA) also urged Wednesday the government to establish a modern laboratory facility to help prevent the local poultry farms from the attack of deadly avian influenza virus - bird flu - in future.
The BPIA leaders, led by its president Syed Abu Siddique, informed the finance minister that nearly 40 per cent of the country's 150,000 poultry farms have already been closed following the outbreak of bird flue, leaving around 2.0 million people jobless.
The country's poultry sector suffered losses to the tune of Tk 75 billion in the fiscal year (FY) 2007-08 mainly because of the avian influenza, they mentioned.
Production of eggs by poultry farms declined to 1.92 billion pieces in 2008 from 3.56 million pieces in the FY 2005-06 while that of poultry food also fell by 0.6 million tonnes to 1.2 million tonnes during the same period.
Considering the situation, the association underscored the urgent need for strengthening disbursement of loans in favour of the affected poultry farms through rescheduling their previous loans.
Like the agri-credit, the poultry sub-sector can be provided loans at a low rate of interest, the apex body of poultry farms suggested.
They, however, informed the finance minister that banks were now charging interest rate at 15 per cent and above on the credit for poultry sector.
Apart from the low-cost credit support, the BPIA also demanded of the government to take necessary steps including imposition of tax on foreign-owned poultry units in order to discourage foreign investment in this particular sector.
The association leaders said investment in the country's poultry industry would go up to Tk 300 billion, creating nearly 10 million new jobs provided necessary supports are ensured.
The finance minister said the government will consider their proposals.
Also terming the poultry industry a potential sector in respect of generating employments and meeting the growing demand for protein, Mr Muhith said: "We are giving special priority toward its development."