Mumbai/New Delhi: In a major step to strengthen India’s food processing ecosystem, Bank of Baroda has signed a Memorandum of Understanding (MoU) with NABARD (National Bank for Agriculture and Rural Development) to provide working capital finance to borrowers who have availed term loans under the Food Processing Fund. This collaboration aims to empower food processing enterprises, enhance liquidity, and support sustainable growth across the sector.
MoU Signing and Key Officials
The MoU was signed by Mr. Shajan Babu V. B., General Manager, Bank of Baroda, along with Mr. Pushpas Pandey, Chief General Manager, NABARD, and Mr. Vadivel Esakkimuthu, General Manager, NABARD. The partnership leverages Bank of Baroda’s extensive branch network and banking expertise with NABARD’s specialized support for agricultural and rural financing.
Mr. Shajan Babu V. B. said,
“Through this partnership with NABARD, we aim to empower food processing enterprises, enhance their growth potential, and strengthen India’s food processing ecosystem.”
Mr. Pushpas Pandey added,
“This collaboration demonstrates our commitment to supporting innovative financing solutions for the agricultural and food processing sectors.”
Benefits for Food Processing Enterprises
The MoU is designed to provide easier access to working capital, helping food processing SMEs optimize operations, scale production, and maintain liquidity while repaying term loans. Key benefits include:
- Expanding production and distribution capacity for small and medium enterprises.
- Strengthening financial inclusion in rural and semi-urban regions.
- Supporting sustainable growth and contributing to the government’s Make in India initiatives and the vision of doubling farmers’ income.
Driving Growth in India’s Food Processing Sector
India’s food processing industry is a critical driver of employment, agricultural development, and export potential. This partnership strengthens the link between agriculture and industrial processing, enabling borrowers to access timely working capital, adopt modern technologies, and enhance efficiency.
About Bank of Baroda
Bank of Baroda is one of India’s leading public sector banks, with a strong domestic and international presence. It provides a wide range of banking services including retail, corporate, and agricultural financing, and focuses on fostering financial inclusion and supporting economic growth.
About NABARD
National Bank for Agriculture and Rural Development (NABARD) is a premier financial institution in India dedicated to supporting agriculture and rural development. NABARD provides credit, capacity-building, and innovative financial solutions to empower farmers, rural enterprises, and agri-based industries across the country.
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