The Hindu Business Line : SBI to brew life into Bengal tea industry — Plans special units to handle loan proposals

THE tea industry, starved of bank credit, will soon get a breather, thanks to a decision by State Bank of India (SBI) to communicate the recommendation by Indian Banks' Association on restructuring tea loans to its operations in West Bengal.

Mr A.K. Purwar, Chairman of SBI, assured the local tea industry that it could look forward to greater co-operation from the country's leading bank on the matter. He was addressing the members of Bharat Chamber of Commerce.

The SBI chief said the bank had set up special units called `central processing cells' at local head offices to handle loan proposals of Rs 2 crore and above.

These units will be responsible for speedy decisions and loans will be sanctioned within a month.

The bank has identified a few major growth areas. These include retail credit, which will be one of the most effective drivers in future, agriculture and small and medium enterprises (SMEs).

In semi-rural areas, SBI plans to play a key role in extending loans for housing projects. Infrastructure lending, which has picked up in recent days, will also attract attention.

SBI had recently introduced a slew of loan products, including some for professionals. It also lends heavily to industrial projects, which require funds for technical upgradation.

India is expected to become a big power producer in the coming years, especially with so many power projects nearing completion. The services sector is also looking up. Information technology, tourism and healthcare are some of the areas that are likely to do well. In manufacturing, segments like auto, pharma and steel are expected to be winners.

It is hoped that the country will continue to be the hub for outsourcing. Besides the relatively well-known items, agri products will also be outsourced in larger quantities.

The SBI chief said the bank would watch developments in the SME sector for augmenting its loan portfolio.

On West Bengal, Mr Purwar said the State would progress in areas such as IT, travel and health services.

"From the view of credit flow, developments in these sectors will be keenly observed. At any rate, credit distribution by public sector banks in the state has increased in recent times," Mr Purwar said.

More Stories on : Tea | Public Sector Banks

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Satnam Overseas plans rice mill, processing unit in UK

Trader held for role in `rice scam'

18 lift irrigation schemes okayed in AP

Rubber improves as buying resumes

Increasing global demand seen reviving tea exports

SBI to brew life into Bengal tea industry — Plans special units to handle loan proposals

AP to set up Agriculture Technology Mission

Milk procurement price increased in TN

Super Spinning cottons on to farmers directly

Pepper fall continues

High prices impacting world vanilla market