Seasonal financing is offered to grain growers to finance the necessary resources during the season – mineral fertilizers, seeds, plant protection products, fuel and other expenses related to economic activities. Financing is provided in cooperation with the SIA Elagro Trade grain trade company, and the loan is secured by the concluded grain supply agreement.
The loan is repaid in the autumn after the harvest. When the farmer has delivered the grain to SIA Elagro Trade in accordance with the concluded grain contract, the grain trader deducts the farmer’s obligation to AgroCredit Latvia from the purchase fee and transfers it to the lender on the basis of set-off.
Seasonal financing for grain growers is an easily accessible type of financing that is usually available without additional collateral.