A farmer centric initiative in the field of agriculture to promote digital drive in rural areas was launched by an MoU signed between IFFCO and Bank of Baroda at the former’s headquarters in Delhi on Tuesday.
The MOU was signed by Mr.Yogendra Kumar, General Manager(Marketing), IFFCO and Mr. G.B Panda, General Manager(Govt relationships), Bank of Baroda. The IFFCO’MD Dr. Awasthi’s visionary thought for the farmers to provide credit and promote Digital transaction is the inspiration for the MOU, said Kumar to Indian Cooperative.
IFFCO and Bank of Baroda pool their resources together to promote market and make accessible organized finance facility at competitive interest rates for the farmers who wish to buy the products of IFFCO and its subsidiaries.
Bank of Baroda will open adhaar enabled accounts of farmers and has agreed to issue co-branded debits card to the specified farmers with Overdraft facility of Rs2500/- per card through which farmer can purchase the IFFCO and its subsidiary agri-inputs exclusively from specified retail points on credit period of one month. It is a big relief to the farmer by getting credit facility of one month and this step will promote very aggressively the inclusion of the cashless transaction system in rural India. As IFFCO is the biggest fertilizer player in India and Bank of Baroda also have a vast network of its branches in India and ranked at second number in India. IFFCO has taken a big decision in favour of the farmers by taking the guarantee of the total outstanding amount if any of the farmers default due to various reason.
A.Roy, Marketing Director, IFFCO explained that two (2.00) lacs co-branded debit cards to the selected farmers on the basis of the recommendation of authorized representative of IFFCO. Initially the co-branded cards will be given to the farmers in the State of Uttar Pradesh, Bihar, Rajasthan and Madhya Pradesh.
G.B Panda, General Manager, Bank of Baroda explained that in the interest of farmers Bank of Baroda agreed for issuing Co-Branded Cards and to install PoS machines at various locations across India after the approval of the competent authority.
Yogendra Kumar, General Manager, IFFCO explained that IFFCO being a farmers organisation is taking this initiative for them. IFFCO is taking guarantee on behalf of farmers to payback the complete outstanding amount to bank. He appealed to the farmers that they should religiously and sincerely payback the loan amount so that IFFCO can go ahead expanding this facility for them. .
The MOU ceremony was attended by other senior officials from Bank of Baroda including Mr Gupta, GM, Rajesh Arora, AGM and others and from IFFCO MR Patel, Director (IT), Kamal Verma, ED (Finance) and other officials.
