The Sugar Cane Growers Fund (SCGF) has introduced mortgage protection insurance for borrowers under the age of 70 who are not in default on their loans, as announced by Chairman Ahemad Bhamji. This new initiative, effective from August 1, provides coverage of up to $50,000, ensuring that in the event of the death or permanent disability of a borrower, their loan will be fully paid off through Capital Insurance Ltd.
This program is particularly beneficial for individuals holding loans exceeding $30,000, with Bhamji highlighting that the scheme will incur costs of about half a million dollars for the SCGF. He expressed the fund’s commitment to managing its resources carefully while addressing various challenges within the sugar industry. The SCGF is also aiming to reduce loan interest rates to below 4 percent if cane production performs well this season and could drop further if additional government subsidies are considered.
Furthermore, the SCGF has confirmed a grant of approximately $38,000 from the Asian Development Bank to enhance services for sugarcane farmers. This includes plans for online access to documentation related to leases and mortgages, which will improve operational efficiency for stakeholders.
The introduction of the mortgage protection insurance is a significant step in ensuring the financial wellbeing of sugar cane farmers, providing them with a safety net during unforeseen circumstances. This aligns with broader SCGF initiatives aimed at supporting the agricultural community in Fiji, including previous collaborations that have already improved loan conditions and financial accessibility for farmers.
This coverage not only aids individual farmers and their families but also contributes to the overall resilience of the sugar industry in Fiji. By prioritizing farmer welfare through such innovative programs, SCGF showcases its dedication to fostering a sustainable agricultural framework that promises growth amid future challenges.
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