OREANDA-NEWS. May 30, 2013. As the only national listed bank based in Fujian, Industrial Bank (IB) has always taken it as one of its mission to support the scientific and frog-leap development of the province. IB Ningde Branch has, getting rooted in East Fujian for over 20 years, adhered to the tenet of “rooting in East Fujian and serving East Fujian”.

Taking the construction of “Greater Ningde with Six Innovative Transformations” as an opportunity, the branch has brought into play its own advantages to support the construction of “Agriculture, Rural Area and Farmers” in East Fujian and boost the development of “Greater Ningde with Six Innovative Transformations”. Up to now, IB Ningde Branch has supported a total of 65 enterprises in the area of “Agriculture, Rural Area and Farmers”, with a balance of support loans amounting to RMB 1.213 billion.

Intensifying Innovation Efforts and Enriching the Scenarios for Support Service for “Agriculture, Rural Area and Farmers”

Based on the distribution of agriculture-related enterprises in the prefecture, IB Ningde Branch has provided “customized” all-sided financial service solutions for such enterprises in a pertinent manner, extending the support range to areas related to the leading agricultural industrialization enterprises such as production, processing, circulation and service, and giving priority to supporting agriculture-related enterprises with regional advantages in the prefecture. Meanwhile, the branch made innovation in the methods of service to explored indirect support for the development of agriculture-related enterprises in a number of business models such as assets transfer, financial lease, and financial consulting.

With such products as cash management, green finance, and IB Open Sesame – SME IPO Program, it effectively met the demands of agriculture-related enterprises in areas including liquidity management, investment and financing management, risk control, and bank-enterprise direct linkage, etc. Moreover, the branch actively explored direct financing channels for enterprises. In this February, it successfully registered and issued the first phase of regional collective notes for outstanding SMEs of Ningde, Fujian in 2013, becoming the first bank issuing regional collective notes for outstanding SMEs in Ningde. With the issue, the branch raised RMB 100 million funds at the inter-bank bond market for enterprises including Ningde Xiawei Food Co., Ltd. and Fujian Yuehai Aquatic Food Co., Ltd.

Improving the Service Mechanism and Providing Flexible Loan Guarantee Methods

In order to meet the financing demands of agriculture-related enterprise which are characterized by “small amount, high frequency and fast rate”, IB Ningde Branch has opened “green channel” and established differentiated credit approval authorization and re-authorization systems so as to ensure the efficient operation and vigorous control of credit approval. In the aspect of loan pricing, the branch took into overall consideration factors including risk, integrated benefits, and customer loyalty, etc. and gave preferential loan interest rates to agriculture-related enterprises, thus significantly alleviating their financial cost. It is often hard for such enterprises to get financing support as most of them do not have enough and valid assets for pledge. IB Ningde Branch has broken through the conventional guaranteeing method and chosen approaches including warranty and introduction of specialized guarantee companies to help agriculture-related enterprise solve their guarantee problems.

Increasing Credit Extension to Support Leading Agriculture-related Enterprises

In this year, IB Ningde Branch will arrange a scale of special loans up to RMB 200 million for agriculture-related loans, mainly targeting at such industries as aquiculture, edible mushrooms, bamboo, and tea leaf processing and giving priority to support a group of leading agricultural industrialization enterprises at the provincial and municipal levels including Fujian Fuding Seagull Fishing Food Co., Ltd., Ningde Xiawei Food Co., Ltd., Fujian Yuehai Aquatic Food Co., Ltd., Xiapu New Century Agricultural Science and Technology Development Co., Ltd., and Gutian Tianyi Agricultural Products Co., Ltd. In the meantime, the branch will also increase its credit support to superior export enterprises of agricultural and sideline products so as to help them to extend new channels and markets continuously, and drive them to develop with diversified export products and multiple countries to export their products. Now, Fujian Fuding Seagull Fishing Food Co., Ltd. under the support of the branch has successfully exported its products to European market; Ningde Xiawei Food Co., Ltd. has marketed its sashimi and yellow croaker as far as such countries and regions as Hong Kong, US, Japan, and Israel; and Ningde Yuehai Aquatic Products Co., Ltd. has begun to supply kelp rolls to the Japanese market. The increasing export scale and benefits of enterprises have directly driven the fast development of the economy of “Agriculture, Rural Area and Farmers” to boost the efficiency of agricultural production and increase the incomes of farmers.

Rooting in the fertile land of East Fujian , IB indicates that it is one of its responsibilities to serve as a safeguard for “Agriculture, Rural Area and Farmers” in the area. Along with the further development of “Greater Ningde with Six Innovative Transformations”, IB Ningde Branch will keep enriching its financial services, making innovation in service carriers, and consolidating service power, keep forging ahead in a practical way, and provide sincere services for “Agriculture, Rural Area and Farmers” in East Fujian so as to help farmers to get onto a road where they can become rich and support the area to achieve overtaking and frog-leap development.