Bank-enterprise docking attracting many dairy bases
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Bank-enterprise docking attracting many dairy bases

Posted by | December 2, 2013 |

On October 24, 2013, reports from the Forum of Dezhou City loan business to the dairy industry indicated that because of increased dairy loans and construction of milk sources, several dairy bases are expected to settle in Dezhou City in the Shandong Province.

Currently, Dezhou City’s dairy industry is growing but the working capital required to increase dairy farms is significant as dairy farmers are willing to develop the industry, but capital bottleneck problems prevent them from doing so. For example, one domestic cattle costs 22,000 RMB and one foreign cattle costs 36,000 RMB; so if farmers want to buy ten or more cattle, then they need to spend tens of millions.

Mr. Canjun Ma, the director of the Animal Husbandry and Veterinary Bureau, said that the capital problem is a major bottleneck which restricts the development of large-scale cattle farm & production. To address this issue of fund shortage, the municipal Agriculture Bureau has come up with measures to promote dairy loans and the milk source construction work.

There are several dairy development projects currently underway including the 5000 ecological demonstration dairy farm in Ling Town invested by Bright Dairy & Food Co. Ltd. as well as 3 million cattle bases in Dezhou City built by Zibo Agricultural Group, Tianjin Farm Group and Shanghai Holstein Dairy Company.