Swine Repopulation, Rehabilitation and Recovery (Swine R3) Credit Program

The Swine Repopulation, Rehabilitation and Recovery Credit Program (Regular Developmental Loans) is a credit window that complements the National Government’s efforts in the recovery and repopulation of the local swine industry through the financing of medium and largescale swine projects that will contribute to ensuring the availability of pork and pork products in the market.

Eligible Borrowers

• • Duly registered private enterprises
  • Local government units

Eligibility Criteria

• • Asset Size
    
  • No adverse findings on the organization and its principals
  • Profitable operations for at least three (3) years, if applicable
  • The project must be at least a Level 1 Biosecurity Classification as certified by the Bureau of Animal Industry (BAI), if applicable*
  • The borrower and/or farm workers have undergone training on biosecurity management**Applicable criteria for LGUs

Eligible Loan Purpose

• • Establishment/construction of swine farm facilities with at least Level 1 Biosecurity Classification as certified by the BAI and support facilities
  • Acquisition of machineries and equipment
  • Working capital

Eligible Projects

• • Breeder Farm
  • Swine Wean-to-Finish Farm
  • Consolidated facility/clustered farm
  • Processing plant
  • Cold storage facility
  • Conversion/Upgrading of existing farm/facility to comply with biosecurity requirements
  • Feeds manufacturing
  • Other projects as evaluated by DBP that can be covered by the Swine R3 Credit Program

Interest Rate

• • based in prevailing market rates

Loan Tenor

• • For Term Loans: Maximum of fifteen (15) years inclusive of grace period
  • For Revolving Promissory Note Line: Up to 180 days Promissory Notes

Grace Period

Maximum of three (3) years on principal payment for term loans

Mode of Payment

Monthly, quarterly, trimestral, or semi-annual payments based on projected cash inflow

Loan Security/Collateral

• • Security Agreement for Intangible Assets in the amount equivalent to at least 150% of the loan/
    line or 100% of receivables arising from the agreement with the DBP-Partner Integrator
  • Applicable insurance coverage endorsed in favor of DBP
  • REM, CHM and other collaterals acceptable to DBP

Documentary Requirements

Pre-Approval

• 1. DBP Loan Application Form and Data Privacy Consent Form
  2. Brief Company Profile
  3. Current year Business Permit, if applicable
  4. Bio-data of incumbent officers and Board of Directors with identification card, if applicable
  5. Audited Financial Statements, if applicable
  6. Latest interim Financial Statements, if applicable
  7. Endorsement/ Notice of Approval from Integrator, if applicable

Specific Requirements for Corporations

1. 1. Certified True Copy of SEC Certificate of Registration
   2. Certified True Copy of Articles of Incorporation and By-Laws
   3. Latest General Information Sheet and/or additional documents to fully establish beneficial owners of the legal entity
   4. Board Resolution duly certified by the Corporate Secretary, or equivalent document (e.g. Secretary’s Certificate), authorizing the business relationship and the signatory to sign in behalf of the entity
   5. Copies of one (1) valid government ID of the designated signatories

Specific Requirements for Cooperatives

1. 1. Certified True Copy of CDA Certificate of Registration
   2. Certified true Copy of Articles of Cooperation and By-Laws
   3. List of shareholders/cooperative membership and their shareholdings and/or additional documents to fully establish beneficial owners of the legal entity
   4. Board Resolution duly certified by the Corporate Secretary, or equivalent document (e.g. Secretary’s Certificate), authorizing the business relationship and the signatory to sign in behalf of the entity
   5. Copies of one (1) valid government ID of the designated signatories

Specific Requirements for LGUs

1. 1. Monetary Board Opinion
   2. Seal of Good Financial Housekeeping to be obtained from the Department of Interior and Local Government
   3. Ordinance for ratifying the approved Terms and Conditions of borrowing to be enacted by the concerned LGU
   4. Certification of Debt-Service Capacity to be obtained from the Bureau of Local Government Finance
   5. Sanggunian Resolution authorizing the Local Chief Executive to negotiate, obtain and enter into, sign and contract a loan agreement
   6. COA-audited Financial Statements for the last three (3) years
   7. Waiver on Confidentiality of Investment and bank deposits
   8. Internal Revenue Allotment (IRA) schedule for the last three 3 years

Pre-Release

1. 1. Letter/Certification from BAI stating that:
      • The farm is in an area where there have been no recorded cases of African swine fever for more than 90 days; and
      • The farm has at least a Biosecurity Level 1 Classification
   2. Certification or any similar document from a reputable training school / institution (e.g. DA – ATI / BAI, integrators, feed companies, TESDA) that the borrower has undergone training on biosecurity management
   3. Contract with a DBP-Partner Integrator (for contract growing projects and other projects covered by a lease agreement)
   4. Environmental Compliance Certificate (ECC) or Amended ECC
   5. Designated Pollution Control Officer (PCO), if there is no Accredited PCO
   6. Perfected loan and security documents
   7. Proof of opening of DBP deposit account

Post-Release

1. 1. Accredited PCO, if applicable
   2. Permit to Operate – Generator set, if applicable

Download Brochure (SWINE R3 Regular Loans)

For more information, please contact:

Aaron Ashley D. Diaz
Project Development Officer
Program Development and Management II Department
(02) 8818-9511 local 2330
E-mail: aaddiaz@dbp.ph