Danish Crown will lend farmers 200 million for the new barns

Slagteriselskab go new ways to help farmers with the financing of new barns to 1.2 million pigs. Slagteriselskabet Danish Crown are now offering 200 million d

Danish Crown will lend farmers 200 million for the new barns

Slagteriselskab go new ways to help farmers with the financing of new barns to 1.2 million pigs.

Slagteriselskabet Danish Crown are now offering 200 million dollars, which members can borrow for construction of the new svinestalde.

- It is a fact that several of our owners would like to build, but find it difficult to provide the necessary financing, says Nicolaj Nørgaard, director of the Ejerservice in Danish Crown, in a press release.

pig farmers can borrow 650 dollars for each stiplads, they establish.

the Loan bears interest at four percent and to be repaid over two or three years through the restbetalingen.

If all the resources come out and work, there will be built new stables for an annual production of 1.2 million slagtegrise.

the Number of finishers in denmark have in recent years been declining.

Since 2004, is the production of pigs for slaughter according to Jyllands-Posten dropped from 22,9 to 16.5 million.

That means less of the employees at Danish Crown's slaughterhouses, and several slaughterhouse has been closed.

at the same time, many farmers found it difficult to borrow money to build new barns.

- It is a completely new model for financing, which in my eyes will be particularly attractive for the skilled farmers, who have already proven that they can run their production efficiently, but have not yet been accumulated sufficient capital to be able to promise the construction of a new shed, " says Nicolaj Nørgaard.

From Danish pork producers president Kim Heiselberg excited about the initiative.

- We can only clap their hands over you now is to promise the production of pigs for slaughter, he says to Ritzau.

He sees no problem in the Danish Crown on the way the driver a kind of the banking business.

- It is, of course, an option, which creates some investment opportunities in svinebranchen in the future. I think it is a good action.

It is a risk of loss which may also affect the other shareholders, but it is not great, he says.

- It is, after all, to obtain loans of 20 to 25 percent of the total price of the barn.

- So you still have to find money elsewhere. It will only sound investment projects, which are allowed to be put in the time, says Kim Heiselberg.

/ritzau/

Updated Date: 28 November 2019, 15:00

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