Rural finance, "chicken ribs" or "blue sea"?

The annual purchase of ginger is over, but Wang Shijun, who has been flopping about in the ginger acquisition and processing industry for many years, is not calm.

"many bank loans have been very tight this year, and the company's loan for the purchase of ginger has not been approved. Fortunately, Hengfeng Bank made a loan of tens of millions of yuan some time ago, and settled the purchase funds of more than 4000 farmers. " Wang Shijun, chairman of Sichuan Langzhong Yuqun Agricultural products Development Co., Ltd., told reporters, "fresh agricultural products can not be put down, and they will go bad in two days, and the financial pressure during centralized acquisition is very great."

Like ginger, many agricultural industries have a special and urgent need for financial support in the process of development; at the same time, because agriculture faces greater natural and market risks, and there is a general lack of collateral in rural areas, for most financial institutions, the business in the areas of agriculture, rural areas and farmers has never been very popular.

Is the rural financial market a tasteless "chicken rib" or a promising "blue sea"? Hengfeng Bank, which provides loans to Wang Shijun, has been ploughing the rural financial market in recent years, and has achieved its own rapid development while serving agriculture, rural areas and farmers. As a national joint-stock commercial bank, Hengfeng's exploration can be used for reference to many financial institutions.

With high risks and low returns, can financial support for agriculture achieve a win-win situation?

"serving agriculture, rural areas and farmers should not only focus on short-term interests, but also have a long-term vision."

In the face of tighter bank loans, Wang Shijun's company was able to borrow from Hengfeng Bank because of Hengfeng's preference for loans for agriculture, rural areas and farmers. Sun Tingting, deputy general manager of the company's business management department of Hengfeng Bank's Chengdu Branch, said that according to the requirements of the head office, the annual new loan quota should give priority to meet the needs of agriculture, rural areas and farmers and small and micro enterprises, and then consider other customers. More than 90% of the new loan targets of the Chengdu branch this year have been given to these enterprises.

Considering the weakness of the agricultural industry, will more loans be invested here will increase the risk of banks and affect the development of banks? In this regard, Hu Haifeng, chief brand officer of Hengfeng Bank, explained that it is precisely because of the weak anti-risk ability of agriculture, rural areas and farmers that banks cannot just add icing on the cake, must provide timely help, do not just focus on short-term interests, and have a long-term vision. Hengfeng's new network to serve agriculture, rural areas and farmers does not require to make money for three years, which is the bank's social responsibility.

"of course, banks also talk about returns." Hu Haifeng said frankly, "We have down-to-earth roots in agriculture, rural areas and farmers because we really find that there is a blue sea here." If banks fully consider the development of agriculture, rural areas and farmers and small and micro enterprises, establish a suitable risk control system, and cooperate with them, with the development of agriculture, rural areas and farmers and small and micro enterprises, social and economic benefits can be a bumper harvest. "

The cooperation between Guang'an Hengfeng Village Bank and Sichuan Guangan Weiye Green Horticulture Company is a vivid example. Tang Yanzi, chairman of the company, told reporters that her company contracted some barren mountains to reclaim land in Guang'an to manage the production of seedlings, flowers, fruits, and so on. The investment cycle was relatively long, and the initial capital required was not too much, but it was crucial.

"Agricultural loans are generally ignored by banks because of their high risk and low rate of return." Tang Yanzi said, "but Hengfeng gave a loan of more than 4 million yuan at the beginning of the company, which is really timely help." Now, the company has entered a benign development track, but also become a loyal customer of Hengfeng, the two sides maintain a good cooperative relationship, forming a "win-win" situation.

"in view of the fact that the risk of agriculture-related loans is relatively high, we have also increased our tolerance for agriculture-related non-performing loans." Ran Hengmao, vice president of Hengfeng Bank Chengdu Branch, told reporters, "for example, if agriculture-related enterprises have temporary operational difficulties, our bank will certainly not draw loans, but with an active support attitude, so that they can slowly regain their breath. The risk of agriculture-related loans issued by business personnel and account managers will be strictly controlled in advance, but as long as they operate in accordance with the procedures, there is no personal moral hazard, which is generally exempted from liability. "

Lack of collateral and strong timeliness of loans, how to meet the special needs of agriculture, rural areas and farmers?

Change from a merchant to a merchant, and design products tailored to clothes.

"it's easy and easy to submit the loan application materials, and as long as there's no problem, the process will be over soon." Leng Zhiheng, chairman of Chengdu Kunshan Agricultural products Logistics Co., Ltd., talked about cooperation with banks, and the most prominent feeling is "convenience."

The first cooperation between Kunshan Agricultural products Logistics Company and Hengfeng was at the end of 2011, when the enterprise was expanding rapidly and nearing the New year, it needed to purchase and store a lot of agricultural products, advancing nearly 10 million yuan. "We submitted an application for a loan with Hengfeng in mid-late November. At that time, we were worried that the loan would not be approved before the end of the year. Unexpectedly, the loan was released in a month's time on December 16. Later, the renewal of loans will be even faster, each time only a week or so, will never delay the purchase of agricultural products. "

The loan demand of Kunshan Agricultural products Logistics Company is very representative in the agricultural industry. Due to the characteristics of agriculture, many agriculture-related loans often have the characteristics of strong timeliness, strong seasonality and concentrated demand time, while the fast approval process of Hengfeng agriculture-related loans well meets the needs of customers and the development of agriculture, rural areas and farmers.

"in view of the particularity of loans for agriculture, rural areas and farmers, we have opened up a 'green channel', giving priority to the due diligence, risk review, credit review and credit examination and approval of customers of agriculture, rural areas and farmers." Song Hao, president of Hengfeng Bank Chengdu Branch, said.

"to be a 'very convenient' bank." Hu Haifeng explained Hengfeng's concept of serving agriculture, rural areas and farmers in this way: "in order to open up the blue sea of the rural financial market, banks must change from passivity to initiative, change from merchants to merchants, and 'tailor clothes' according to the special circumstances and diversified needs of agriculture, rural areas and farmers. Tailored products for customers."

The idea of turning a merchant into a merchant is vividly reflected in the Hengfeng Village Bank in Guang'an, Sichuan Province. Since its establishment at the end of 2010, this village bank, initiated by Hengfeng Bank, has continuously organized customer managers to conduct investigations in villages and towns and rural areas, and successively knocked on the doors of more than 1000 peasant households and more than 100 small and micro enterprises. on the basis of full investigation, the traditional single-function products have been constantly transformed and innovated, and a series of products that meet the needs of local economic and social development have been gradually developed.

"what customers need, we provide what kind of products and services." Xing Zailin, president of Guang'an Hengfeng Village Bank, said, "for example, in view of the lack of property rights and the general shortage of collateral in rural land and housing, we have developed 'full loan' credit products. In general, banks lend according to about 70% of the value of the collateral, while ours can reach 120% of the value of the collateral. " There are still many innovations in products and methods such as "full loan" in Hengfeng branches at all levels.

The grass-roots network is insufficient, how to better link up with agriculture, rural areas and farmers?

Based on its own characteristics, support the new business main body and pull the industrial chain

He Chuanrong, from Shijianba Village, Gongxing Town, Nanchong City, Sichuan Province, joined Nanchongqin as a layer professional cooperative two years ago and entered the layer breeding industry chain, raising 4000 laying hens.

"it's better than a part-time job. You can only earn one or two thousand yuan a month outside, and you have to make a living." He Chuanrong said, "in the past, we all used to burn in bags, with flowers in our left hand and in our right hand. At present, there were 200000 chickens raised last year. The doll was taken care of, and so did the old man. "

He Chuanrong's "happy life" today depends not only on the promotion of the cooperative, but also on the contribution of Hengfeng Bank.

Raising chickens requires capital. It takes four or five months to build a chicken coop, buy chicken cages, and feed them. When you see the money, it takes four or five months. He Chuanrong told the reporter that relying solely on his own savings, it is very difficult to support these 4000 chickens, and it all depends on the advance of the cooperative. However, in this way, the financial pressure on the co-operatives is very great.

"Last year, Hengfeng Bank lent 500000 of its working capital to our cooperative, and the interest rate was much lower than that of ordinary loans." Huang Min, director of the cooperative, said that with the support of these funds, the development of the cooperative is still relatively smooth, and now it has 50 members and 300000 laying hens.

By supporting new business entities such as leading enterprises and cooperatives, we can promote industrial development, so that scattered farmers can benefit from the whole industrial chain, which is the most important direction of Hengfeng Bank in serving agriculture, rural areas and farmers.

"We should highlight our characteristics when supporting agriculture. Because of our few outlets and manpower, there is no way to spread the noodles like some financial institutions. Therefore, in supporting agriculture, we focus on selecting leading enterprises, cooperatives and so on to promote the development of prenatal, mid-production and post-natal related industries of the whole agriculture. " Li Jiurun, president of Hengfeng Bank Nanchong Branch, said.

In fact, Hengfeng's concept is also in line with the current situation of the financial needs of agriculture, rural areas and farmers in the process of urbanization. "there is a big difference between agriculture, rural areas and farmers now and in the past." Xing Zailin said, "in our research, we found that farmers had very little demand for decentralized loans. They needed 35,000 yuan to buy seeds and fertilizers, so he went to his relatives and friends to borrow them. Judging from the demand for funds in rural areas alone, there are more cooperatives and large households. "

It can be said that agriculture, rural areas and farmers are in transition, and banking services for agriculture, rural areas and farmers also need to be transformed. "We must determine the direction according to the development of agriculture, rural areas and farmers, subdivide the market, and transform and grow together with enterprises, agriculture, rural areas and farmers." Hu Haifeng said.