Based Jain Irrigation systems (JISL) plans to set up a non-banking financial company (NBFC) farmers’ financing needs, says managing director Anil B Jain. The management of this company has already agreed to relocate and will apply for a nod from the Reserve Bank of India for the same this quarter. It normally takes 3-4 months for approval to come through.
JISL hopes that the NBFC will help sales. “Farmers need timely and adequate credit to the NBFC can offer JISL and may also improve the balance by reducing debtors,” he added. For starters, the company will finance only the purchase of its product. JISL, the world’s second largest micro-irrigation systems (MIS) maker after Netafim Israel, and India’s largest, AIDS now farmers in sourcing credit for his purchases. There are government subsidies for the same.
For the three months ended December 31, JISL saw its revenue grow by less than 10% to Rs693 crore while net profit rose 24.6% to Rs71.47 crore. Jain said the heavy and unseasonal rains battered the top line. “In the first nine months, our irrigation grew by 27% while we expect a growth of 30%. But the current quarter is better,” he said. JISL has a backlog of RS1, 100 crore, most of them in drip irrigation.
0 comments:
Post a Comment