Tatarstan has become a pilot region for issuing preferential loans for self-employed household plot owners
Tatarstan residents running a personal subsidiary plot (PSP) and engaged in the production, processing and sale of agricultural products in the status of self-employed can receive a preferential loan at a rate of 5% per annum. The new support measure was developed by the Russian Agricultural Bank as part of the implementation of Decree of the Government of the Russian Federation No. 1528 dated December 29, 2016. Previously, this support measure for agricultural producers was available only to organizations and individual entrepreneurs. Along with Tatarstan, the pilot project will be implemented in two more regions of the Russian Federation: in the Lipetsk region and Chuvashia.
As part of seasonal work, owners of private household plots can allocate funds for the purchase of seeds, fuels and lubricants, spare parts, plant protection products, surfactants, fertilizers, young animals, feed, medicines, grain, flour for the baking industry. For these purposes, a short-term loan (up to 11 months) up to 1 million rubles is issued.
An investment loan (up to 5 years) up to 2.5 million rubles is issued for the purchase of agricultural machinery and equipment for the food and processing industry.
To receive support, a self-employed citizen running a household plot must submit an extract from the household book confirming the conduct of production activities for at least 12 months preceding the year the loan was granted.