Agriculture and Food Industry – Growth and Competition
Interest-subsidized loan for financing investments in commercial buildings, technical equipment, land, machinery, and vehicles for agricultural and food industry enterprises in Baden-Württemberg.
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Grant criteria
Funding objective
The L-Bank supports agricultural, food industry, or forestry enterprises with low-interest loans to finance investments such as the construction, acquisition, and modernization of operational buildings, technical equipment, land, machinery, and general expenses related to these investments.
Eligible expenses
- Construction, acquisition, and modernization of operational buildings
- Construction, acquisition, and modernization of technical equipment
- Acquisition of land
- Purchase of machinery and vehicles
- General expenses related to the aforementioned investments
Non-eligible expenses
- Installation of independent heating boilers using fossil fuels from 01.01.2025
- Acquisition of operating resources
- Projects outside Baden-Württemberg
- Procurement unrelated to the specified investments
- Projects according to exclusion criteria of the Agricultural Rentenbank
Eligible to apply
- Companies
Funding requirements
- SMEs according to the EU definition
- Investment location in Baden-Württemberg
- Commercial (economic) activity
- Establishment or expansion of a business premises, diversification or fundamental change of the production process
Documents required for application
- Application form WF_1001
- Aid application WF_1301
- Cumulation declaration WF_1302
- De minimis declaration
- Data protection information
- Program information sheet Agricultural and Food Industry – Growth and Competition
- Terms overview Agricultural Subsidies
Evaluation criteria
- Determination of creditworthiness and collateralization (risk-appropriate interest rate system)
- Amount of investment contribution to sustainable value creation
- Relevance and economic viability of the project
Description
The funding program "Agriculture and Food Industry – Growth and Competition" by L-Bank offers agricultural, food, and forestry enterprises in Baden-Württemberg low-interest loans to finance essential investments. Eligible are the construction, acquisition, and modernization of operational buildings and technical facilities, the purchase of land, as well as the acquisition of machinery and vehicles. Additionally, general expenses directly related to the aforementioned projects can be co-financed. Loan funds of up to €10 million per company and year are available, covering up to 100% of eligible costs. The program conditions range from basic to top and premium terms and, in cooperation with the Landwirtschaftliche Rentenbank, can offer extended interest-free commitment periods for particularly forward-looking projects.
To apply, a simple application via the house bank is sufficient and can be submitted at any time without deadline restrictions. Requirements include commercial activity, the investment location in Baden-Württemberg, and classification as a small or medium-sized enterprise (SME) according to the EU definition. Companies in difficulty or projects outside the rural value chain of primary agricultural production are excluded. Creditworthiness and collateral determine the individual interest rate within a risk-appropriate interest system. If collateral is lacking, a guarantee bank or L-Bank can assume guarantees. Required documents include, among others, the application form WF_1001, the cumulation declaration, and the de minimis declaration. Close cooperation with regional credit institutions and clearly regulated conditions make the loan an attractive financing instrument for sustainable growth in the agriculture and food industry.
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