machinery mortgage
Another formula for prolonging life.-Fighting the rising flowers.
After the Monetary Policy Committee (MPC) meeting on August 10 last Approved to raise the policy interest rate by 0.25% per year from 0.50% to 0.75% per year, causing all business operators to urgently adjust to the increased financial costs.
especially the group of entrepreneurs in the manufacturing industry At present, the loan value reaches 2.29 trillion baht, accounting for 12.68% of the total loan value. Both large and medium and small (SMEs) are mixed. At the same time, there is also an outstanding amount of SME loans to invest in rehabilitation after COVID-19, totaling 3.49 trillion baht, or accounted for 19.35% of the country’s total outstanding loans. Which is at 18 trillion baht and in this number is divided into SMEs in the manufacturing sector. The outstanding balance of loans is over 683,870 million baht, accounting for 19.59% of the total outstanding loans to SMEs.
In the past, industrial operators had to bear the rising costs already. from energy prices raw material cost logistics freight electric bill hike and minimum wages Although the Thai Bankers’ Association has confirmed that it is ready to cooperate in delaying interest rate hikes as long as possible to help retail customers and vulnerable groups. But for new customers who are in the industry, of course, the financial cost will inevitably increase.
Wanchai Phanomchai, Director-General of the Department of Industrial Works It was found that in the era where the production cost of the industrial sector was high And the latest is facing increasing financial costs. As for the Department of Factory, it is moving forward to stimulate 65,000 industrial factories across the country to bring the machinery within the factory to register with the Department of Factory to be able to apply for low-interest loans with commercial banks, both public and private. also known as machine mortgage increase liquidity investment in machinery Other investments to increase plant efficiency
Director General Wanchai stated that At the end of last June The Department of Industrial Works has signed a Memorandum of Understanding (MOU) from 4 departments, comprising the Department of Industrial Works and 2 financial institutions, namely the Small and Medium Enterprise Bank of Thailand (SME D Bank), Krung Thai Bank. Public Company Limited and the Federation of Thai Industries (FTI) to promote and support industrial operators to bring machinery in the factory as collateral for loans from financial institutions. On the other hand, credit lenders have confidence in lending. because the state is a central authority Project duration 1 year
The project goal is to reduce the burden of entrepreneurs who face the problem of increasing production costs in all aspects. Both energy prices, raw materials and financial costs that the Department of Industrial Works estimates will increase in line with the recovery of the Thai economy. At the same time, it also wants to be a part of stimulating the country’s economy according to the government policy. In this regard, Mr. Suriya Juangroongruangkit The Minister of Industry emphasized that not only this was the conversion of machinery into capital. Make the machine to be used at full efficiency have maintenance The Department of Factory is closely consulting. And this project will also increase production capacity, reduce waste, in line with the new economic model policy. or the BCG economy
“This project has a cooperation period of 1 year. It is considered as an alternative way to apply for a loan for industrial operators across the country that can be done easily, just by registering the ownership of the machine with the Department of Factory. which offers full facilities Be assured that you will receive a loan for sure. and also get a loan with a lower interest rate than the market Especially during this period when bank interest rates are on the rise,” said the Director-General of the Department of Industrial Works.
Director-General of the Department of Factories also provided information that Details of loans from 4 MOUs to entrepreneurs from 2 state banks have released products as follows: As for SME D Bank, there are 3 products, namely BCG Loan, with an interest rate of 3.99%, not exceeding 50 million. baht per person Installment up to 12 years, SME D Plus, interest rate 4.5%, not more than 50 million baht per person. Installment up to 10 years and Smart Factory, interest rate 6.74%, not more than 50 million baht per person. Installment for up to 10 years
while Krung Thai Bank has 4 products, namely BCG Loan, with an interest rate of 3.0%, not exceeding 50 million baht per person. Installment up to 7 years, Robotic and Automation loan at 4.0% interest rate, not more than 30 million baht per person. Installment up to 7 years, long-term love loan Interest rate 5.82%, not more than 100 million baht per person Installment up to 10 years and business rehabilitation loans Interest rate 5.0%, not more than 50 million baht per person Installment for up to 10 years
The Director-General of the Department of Industrial Works has also released the comparative statistics of machinery mortgages of industrial operators over the past 3 years (fiscal year 2020-2022).
Update as of August 15, 2022, it was found that in 2020, the total amount of mortgages for the whole year was only 80 billion baht due to industrial operators and financial institutions facing problems from the Covid-19 situation. Doubled at about 170 billion baht, and in 2022 or the present, there is a mortgage limit. Even if the fiscal year is not yet complete But the number of mortgages rose to 2.1 billion baht from various measures. The government and private sector has made the economic situation better. And in this number, there are about 30% of SME entrepreneurs interested in applying for mortgage registration, which is an increasing number.
In 2022, the industry that applied for mortgage registration with financial institutions was the highest. Industrial production and distribution of electricity, there are 16 cases, with a mortgage limit of 2.1 hundred billion baht, the second is the crushing and crushing industry, with 9 cases, with a mortgage limit of 586 million baht, and the third is the metal products industry, with 8 cases, the mortgage limit 694 million baht, 4th place is the sugar industry with 7 cases, with a mortgage amount of 2.4 billion baht, 5th place is the plastic products industry, with 5 cases, 629 million baht in mortgage, and 43 other industries, with a 1.4 billion baht mortgage
“The number of SMEs who have applied for a mortgage on their machines and have received a loan from the bank. Accounting for approximately 30% of the total value is considered an increase. But the goal after this, the Department of Factory is more than 50% because of the base of industrial factories across the country in Thailand. The proportion of SMEs is more than 80%, which means that there are still many SME factories waiting for help. Therefore, I want interested SME factories to contact the Department of Factory. in order to register the machine and take it to a mortgage to apply for a loan with the bank easier SMEs’ access to credit is one of the first obstacles. that SMEs have been complaining to the government all the time,” the Director-General of the Department of Factories emphasized.
side Payong Srivanich, President Krung Thai Bank comment Cooperation with the Department of Factory and FTI will encourage entrepreneurs to access funding sources. It will support loans that meet the business needs, such as Robotics & Automation loans to modify machines. Increase production with automation Interest starting at 4% per annum, installments for up to 7 years, environmental loans with environmental funds to invest in waste treatment systems in the business Fixed interest rate of 3% per annum, installments up to 7 years, business loans for energy and environmental conservation for the installation of Solar Rooftop, high credit line, installments up to 10 years
It is another option for entrepreneurs to use the machinery in the factory to benefit !!
