Unlock new opportunities through sustainable lending
Sustainable lending is a rapidly evolving opportunity for Australian primary producers that rewards the implementation of sustainable practices with discounted interest rates or premiums, and is increasingly being offered by Australian financial institutions.
A new AgriFutures Australia project, Navigating Environmental and Social Lending for Australian Producers, has been launched to help Australian primary producers understand and access financial products that reward sustainable practices. The expanding range of options include lower-interest green loans, sustainability-linked finance and funding for eco-friendly equipment and vehicles, so now is the time for producers to explore how environmentally and socially responsible practices can bring real economic benefits to your business.
The project aims to help producers learn about the emerging finance options tied to sustainable agriculture, and how to access them. It breaks down the facts, figures and mechanisms, and shares valuable insights from producers already reaping the rewards of these opportunities.
The information also helps producers prepare for the ripple effects of mandatory sustainability reporting (in effect from January 2025).
Resources
The project offers a range of resources around the topic, from fact sheets to podcasts:
AgriFutures On Air podcast series
- Intro to Sustainable Finance
- Old Man Creek Case Study
- Albany Farm Case Study
- Products and Opportunity with Sustainable Finance – part 1
- Products and Opportunity with Sustainable Finance – part 2
Downloadable fact sheets
- What is sustainable finance and what does it mean for Australian producers?
- Products and opportunities with sustainable finance in agriculture
- Benefits and costs for Australian producers with sustainable finance
- How to prepare for and get started with sustainable finance
Case study videos from primary producers
- Old Man Creek’s Michael Gooden secured a green loan to fund a soil carbon project to increase soil carbon levels and generate soil carbon credits. View here.
- Albany Farm’s Colin and Beau Ford have leveraged sustainable finance to fund the solar-power system for their free-range chicken sheds. View here.
There’s also great background information on the subject in two reports – Navigating environmental and social lending opportunities: A guide for Australian producers and Financing sustainable agriculture: Understanding the benefits and costs for Australian producers – both available for free download from the AgriFutures website.
The bottom line is that reaping the benefits of a greener and more sustainable practices on-farm has never been easier, or made more sense financially. Head to the AgriFuturesAU website to dig deeper into sustainable lending and see what could work for you.