The Bank for Agriculture and Agricultural Cooperatives (BAAC) has set aside loans worth 5 billion baht for fruit exporters to deal with slowing shipments to some markets, said executive vice-president Pongphun Jongrak.
He said of the total loans, 1 billion baht has been disbursed.
The BAAC loan programme covers the entire value chain of Thai fruit, from exporters gathering fruit to farmers, as well as those stockpiling and processing the crops.
The aim is assistance for exporters and fruit farmers who face difficulties with shipments, said Mr Pongphun.
Exports of Thai fruit, such as durian, sometimes experience a slowdown in markets that have strict import controls related to Covid-19 preventive measures.
He said durian exporters facing an export slowdown can apply for this loan to help stockpile the fruit.
The bank's outstanding loan for durian planting and export stood at around 20 billion baht.
Mr Pongphun said Thailand exports a massive number of durians, especially to China. Malaysia still has healthy demand for Thai durian, he said.
Earlier BAAC president Tanaratt Ngamvalairatt said for the new accounting year beginning April 1, the bank set a loan growth target of at least 30 billion baht, representing a 3% growth of its outstanding loans in the previous accounting year.
If the economic conditions are favourable, new loan extensions could reach 50 billion baht, representing a 4% growth of outstanding loans from the previous year.
The bank wants to limit non-performing loans in the new accounting year to no more than 4.5% of outstanding loans, down from 6.63% the previous year.
