Fendt and Abrapa announce credit line for sustainable cotton farmers

Initiative aims to encourage responsible cotton production and offers rates up to 10% lower than the market for purchasing Fendt equipment

02.05.2023 | 06:10 (UTC -3)
Cultivar

Fendt, in partnership with Abrapa (Brazilian Association of Cotton Producers), has just launched a special line of credit for cotton farmers who have ABR certification (Responsible Brazilian Cotton), ABR-UBA (Cotton Processing Unit) and BCI licensing (Better Cotton Initiative).

The initiative aims to value those who adopt the highest levels of sustainability in their crops. Through AGCO Finance, fiber producers will have access to exclusive financing for the purchase of any Fendt equipment, with rates up to 10% lower than the market standard. Financial offers include CDC in Foreign Currency (euro or dollar), with a maximum term of 72 months; Pre-fixed CDC, with a term of 60 months; and post-fixed CDC, with a term of 84 months.

José Galli (in the photo above), director of Fendt, highlights the importance of the initiative for sustainable agriculture: “Our objective is to contribute to sustainable development and the transformation of agriculture in our sphere of influence through concrete actions, this includes offering technological solutions and innovative solutions, which help to reduce the carbon footprint and provide attractive access conditions to equipment. We are committed to being the first option for those who care about low-carbon agriculture.”

Since 2021, Fendt has been part of Abrapa's “Sou de Algodão” movement, which encourages sustainable cotton production in Brazil. According to Alexandre Schenkel, president of the entity, Fendt's initiative shows its commitment to the three pillars of sustainability: environmental, social and economic. “We hope that this example will be multiplied into many other initiatives of this nature, so that our country can consolidate itself as a global reference in the sustainable production of cotton and other crops”, says Schenkel.

Brazil is the world's second largest exporter of cotton and has stood out in sustainable production. Last harvest, 86% of national cotton production had ABR certification. Furthermore, 42% of the BCI fiber circulating around the world originates from Brazilian farms. In the majority of crops (92%) the rainfed regime is used, that is, cultivation is carried out without irrigation. Certification is beneficial for the entire production chain and the fashion industry, as, in addition to guaranteeing the quality of the fiber, it allows its traceability - something that has been increasingly demanded by society and consumers.

Mosaic Biosciences March 2024