![[Exclusive] Swine fever is rampant, transformation is expensive, and loans are difficult to obtain. The Ministry of Agriculture seeks "good loans" for pig farmers](https://cdn1.npcdn.net/images/168930221861181e20cb53df4c2c4c88840befd079.webp?md5id=a5ff1a4d4bc44f3834181a6ca58b91c8&new_width=800&new_height=800&from=jpg "[Exclusive] Swine fever is rampant, transformation is expensive, and loans are difficult to obtain. The Ministry of Agriculture seeks \"good loans\" for pig farmers")
Exclusive report: Lin Xiufang
(Kuala Lumpur, 10th) The government is committed to implementing the policy of modernizing pig farms, but pig farmers are facing the problem of blocked loans from agricultural banks. For this reason, the Ministry of Agriculture and Food Security is trying to seek assistance from other commercial banks in order to obtain more favorable loan costs for pig farmers.
Because the pig farming industry faces the risk of infection with African swine fever (ASF), banks are cautious in lending and generally require loan collateral.
Agricultural Bank refuses to approve loans in accordance with Islamic principles
In addition, the pig farming industry is also classified as a non-halal business activity, so domestic Islamic banks directly refuse to lend to pig farmers in order to comply with Islamic regulations.
In an interview with Nanyang Siang Pau, Deputy Minister of Agriculture Chen Hongyan revealed that due to the above reasons, Agricultural Bank, which has begun to comply with Islamic regulations in recent years, is also unable to provide loans to pig farmers. In other words, pig farmers will not be able to enjoy a 3% low interest rate for transformation and development.
“However, as a long-term solution to African swine fever, helping pig farmers upgrade traditional pig farms to modern pig farms is the most effective measure. ”
Chen Hongyan said that the meeting of the first meeting of the task force to revitalize the pig farming industry chaired yesterday (4th) discussed the issue of loans to pig farmers, including the Ministry of Agriculture's earlier suggestion that the Agricultural Bank of China relax loan application terms, so that loans for pig farmers to purchase machinery can be approved without involving the purpose of purchasing pigs.
It is an industry practice to calculate costs based on the number of sows
“The Agricultural Bank of China still replied at the meeting that it was "not feasible". For this reason, it will meet with other commercial banks to seek preferential loan costs for pig farmers. ”
He pointed out that the Ministry of Agriculture understands that modern pig farms and their operating costs are high. According to calculations, the operating cost of a sow for closed pig farming is RM23,000. If there are 100 sows, the total amount is multiplied by that number. It is an industry regulation to calculate costs based on sows.
Commercial banks carefully review loans
It is reported that due to the risk of African swine fever infection, commercial banks are also cautious about loans to pig farmers. Some pig farmers are even forced to solve the problem through personal loans, but they have to bear higher loan costs.
It is understood that the interest rate of general commercial activity loans is between 4% or above, while personal loans are at 5% or higher.
The Ministry of Agriculture convened all departments related to the pig industry at the first meeting of the task force to revitalize the pig industry on Tuesday, including the state veterinary bureaus, agricultural banks, and the Ministry of Food Safety.
Empty for 3 months and run for a year
Stop for 15 months if encountering African swine fever
Pig farms attacked by African swine fever are costly. Not only do pig farmers have to face the loss of pigs, but they also have to empty the pig farm for 3 months, and then "run for a trial" to raise some pigs. Finally, they can resume operations after confirming that no pigs are infected within 12 months.
Chen Hongyan pointed out that African swine fever poses a serious threat to the pig farming industry. Once pigs are infected, pig farmers will definitely lose all their money.
“In addition, in addition to following the federal government's measures to deal with the above-mentioned virus infection, some state governments will also introduce their own policies to decide whether to allow pig farmers to reopen for business. ”
He took Malacca as an example. After the African swine fever hit the state's pig farmers, they also improved the problem according to the above procedures. However, the Malacca state government did not allow the pig farmers to reopen in the end, and the Ministry of Agriculture was unable to intervene and assist.
Only 36 modern pig farms
“For this reason, we hope that domestic pig farmers can move towards a modern pig farm operation model. At present, there are 437 pig farms in the country, of which 36 have been upgraded to modern pig farms, mainly following closed pig farming, a buffer zone 200 meters away from the community, and the biochemical oxygen demand (BOD) of sewage is less than 50. ”
He added that, of course, modernization is not something that can be achieved overnight. After all, it involves various issues, especially high operating costs.
Avoid affecting the urbanization of the community
State government demarcates land for pig farming
The pig farming industry also faces land use issues. Some state governments even plan "pig farming" land, or adopt a centralized pig farming model.
Chen Hongyan said that as each district faces urbanization, the pollution problem of traditional pig farming has also become a community issue. The state government has even taken extreme measures to solve the problem, such as setting up "pig farming" land, stipulating that only under this plan can pig farmers raise pigs.
"Once a land is set for "pig farming", it cannot be used for other purposes, including planting, and there will be problems in changing the use of the land in the future. ”
He also said that in addition, state governments with land will plan centralized pig farms to reduce friction between pig farms and communities. Currently, only Sarawak is doing this in Malaysia, and Sabah is planning.
“Centralized pig farms are fully equipped, including pig breeding, slaughtering, laboratories, etc. ”
According to our understanding, the governments of Negeri Sembilan and Selangor also had such plans, but it is reported that the land previously planned in Negeri Sembilan has been converted to other uses.
Supply and demand pricing has almost reached the top
Pork prices are expected to stop rising for the time being
Pork prices are still determined by market supply and demand. It is expected that the highest price acceptable to the market has been reached. Therefore, it is expected that pork prices will not rise again for the time being.
Chen Wanhua, a pig farmer in Kualeng, Selangor, told Nanyang Siang Pau that pork prices have always been determined by market supply and demand. In some places where pork is in short supply, high prices will appear, which has led to the issue of pork prices being raised.
“I don’t think there is still room for prices to rise, because prices that are too high will be rejected by the market. ”
People prefer local pork
When asked whether imported pork can balance market demand, Chen Wanhua said that consumers determine demand, but many people would rather choose local fresh pork than buy frozen pork.
Regarding the impact of the government’s conditional control on interstate sales of pigs, Chen Wanhua pointed out that pig farms in Selangor have not been affected by the relevant policies because their main supply market is still in the Klang Valley area and there has always been a shortage of supply.
“The Kuala Lumpur and Selangor markets have always relied on other states to supply pigs. Among them, Perak, which is plagued by African swine fever, is the largest pig farming operation in Malaysia and the main supplier of Kuala Lumpur and Selangor. ”
He revealed that in order to deal with the African swine fever problem, the Selangor government has also adopted a system of renewing licenses every six months. This is a new measure starting this year.
“After the community complaint news was released, the Selangor Veterinary Department also began to take strict regulatory actions, changing the annual renewal of pig farmer licenses to once every six months, which means that our pig farms must undergo sewage source inspections every six months. If they fail, the authorities will not approve business licenses. ”
He pointed out that pig farmers also hope to upgrade to modern pig farms, but due to the high cost and it is not easy to get loans, especially since this is a high-risk industry, if they are unfortunately robbed by African swine fever, they will face the impact of losing all their money.
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