Guyuan City's First Annual Agricultural Facility Mortgage Loan Closes

This article is reprinted from Ningxia Daily

128 Agricultural Facility Greenhouses Mortgage Loan of 3 Million Yuan

First Agricultural Facility Mortgage Loan in Guyuan City This Year

Our newspaper (Reporter Shi Yue) received the notification of a 3 million yuan loan disbursement, and the leader of Ningxia Yuheqing Agricultural Development Co., Ltd. felt relieved. Recently, it was learned that this is the first loan in Guyuan City this year and the first credit funds in Longde County secured by agricultural facilities.

Guyuan City is a national demonstration zone for deepening inclusive financial reform. Under the guidance of policies supporting comprehensive rural revitalization through financial support and improving the efficiency of financial resource allocation, relevant departments in Longde County and financial institutions actively explored a service model of “Agricultural Facility Rights Confirmation + Financial Follow-up.” This broke the limitations of traditional loan collateral guarantees and promoted the transformation of agricultural infrastructure from “static assets” to “dynamic capital.”

“Our most valuable assets are these greenhouses and processing workshops, but under traditional loan models, agricultural facilities cannot serve as effective collateral,” said the company leader. The company is a leading local enterprise in Longde County focusing on edible mushroom cultivation, processing, and sales. After years of development, it has established a standardized industrial base covering 300 acres for mushroom cultivation, processing, and sales. Its annual production of high-quality mushrooms exceeds 10 million jin, providing stable employment for 180 people in the surrounding areas and seasonal employment for 580 people.

At a critical stage when the company plans to expand capacity and improve quality, a funding gap became a “barrier” to development. After understanding the situation, Longde Rural Commercial Bank precisely assessed the financing needs, actively coordinated with relevant departments, and streamlined the entire process of agricultural infrastructure rights confirmation, evaluation, and mortgage. They successfully included the company’s 128 greenhouses as legitimate collateral, ultimately disbursing a loan of 3 million yuan.

“We encourage financial institutions to include agricultural facilities, agricultural product inventories, live livestock, and aquatic products as collateral, reasonably evaluate asset value, and determine collateral ratios,” said a relevant person from the Guyuan branch of the People’s Bank of China. With the implementation of this loan, more agricultural enterprises like Yuheqing in Guyuan City are expected to turn greenhouses and sheds into “certified assets” for financing, allowing dormant assets to truly become a “hard foundation” for funding.