Africa-Press – Gambia. Farmers wishing to purchase tractors provided by the government unveiled by President Barrow on Saturday, will have to pay D600,000 down payment, while government will pay another D600,000, to cover half of the cost of a tractor which costs D2.4 million.
The other half will be paid by the farmer through instalments spread over four years.
Agriculture Minister Demba Sabally told The Standard that farmers are not required to make ‘any collateral’ apart from the D600,000 down payment as government will instead be the guarantor in case of any default.
“The farmers are not required to make any physical collateral. However if they fail to pay during the installments, part of the agreement is that government will withdraw the tractor and re-allocate it to another farmer and the defaulting farmer would forfeit what he or she deposited for defaulting on the contract”, the minister warned.
Asked why the government can’t give the tractors free of charge as many people suggested, Minister Sabally replied: “In 2021 government distributed tractors with no deposit required from anybody. But when people are given something free, they don’t take it seriously. So this new arrangement is a shared responsibility. Once you invest D600,000 on something, you will want that to serve you for a long time. All what we are doing is to prop up farmers, by giving them a helping hand. Not only are we subsidising D600,000 but we are also the guarantor for any potential default because businessmen will not just come and issue these tractors if there is no guarantee,” Minister Sabally said.
President Barrow
Unveiling the 60 tractors that arrived out of an expected total of 180, President Adama Barrow said the event marked a significant milestone in his government’s strive to promote mechanisation and food self-sufficiency. He reminded the farmers that they are the backbone of the country, promising that his government will continue to invest in their growth and success.
“It is now your responsibility to maximise the opportunities and benefits that come with the tractors,” the president told the farmers.
He said the co-financing model has been introduced to ensure “honesty and accountability” from both the government and beneficiaries of the initiative.
“We must not allow anyone to waste or mismanage such public investment as these tractors are instruments for growth, procured within the framework of shared responsibility for service and maximum proper use. Consequently, violation of any contractual agreement may lead to the withdrawal of the equipment or application of other appropriate measures, ” the president warned.
Farmer speak
A number of farmers who spoke to The Standard confirmed already depositing D600,000.
Despite some of them raising concerns about the delay in disbursement, they promise to take advantage of the scheme to expand their farms and increase their productivity and income.
Basirou Barrow, from Jambanjelly who grows rice, corn and vegetables described the payment plan as flexible adding that ample time is given for them to be able to make repayments. “The maximum you can pay is D20,000 a month which a tractor can fetch in a day when in service. For me, this will definitely help because it would be nearly impossible for farmers to purchase tractors on their own if this system is not introduced.” He thanked the president and the government for the gesture.
Lamin Camara, a resident of Sandu in the URR, said he is optimistic that he would be able to repay within the four- year period of the contract.
“I will use the tractor for farming, sand and rock mining, and transportation,” Camara stated.
He however opined that the tractors came a little bit too late.
Ganiado Jallow, from Niamina also made similar remarks. He added that even though the tractors came late for groundnut and millet farming, they can equally be beneficial for others in the water melon farming and next year’s farming season.
The tractors are 180 in total with Yona Financial Services and GACH contracted to supply 90 each. The 60 that arrived are part of those supplied by Yona.
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