To Press Releases listIslamabad,Jul 21, 2007
Nestlé Pakistan Limited (NPL) and Zarai Taraqiati Bank Limited (ZTBL) here inked Rs. 5 billion credit agreement for dairy sector development to bring about white revolution in the country. The agreement was signed by President ZTBL Mansoor Khan and Managing Director NPL, Mr. Roland Decorvet on behalf of their respective organizations, while Secretary Ministry of Industries, Production and Special Inititatives, Shahab Khawaja and ZTBL senior officers were also present on the occasion.
Prime objective of the project is to provide sustainable rural finance and services, particularly to small farmers and low income houses and help them generate their income resources as well as enhance milk production in the country.
According to the agreement, ZTBL would provide Rs. 5 billion to the NPL for provision of loans to the poor and low income farmers to purchase milk producing animals. The amount would be provided on 9 percent markup basis, which would be recovered in monthly as well as weekly installments with grace period of 1 to 3 months for local and imported animals respectively.
MD Nestle, Roland Decorvet gave a detailed presentation on Uplift of Dairy Sector in Pakistan and identified gaps and difficulties in boosting up this sector adding that it could not be developed due to lesser investment. He gave suggestions on how to overcome the difficulties in this sector and bring about white revolution for the benefit of poor farmers as well as consumers.
ZTBL President mentioned that dairy sector has been neglected for past several years which hindered its development. Quoting the survey figures, he said that average per cow milk production in 1996 was 6 liters and in 2006 was just 6.1 liters showing very nominal increase. He expressed hope that ZTBL – NPL credit program would help boost up this sector and milk production in the country.