Security on loan- future yield – Law on funding and provision of agricultural production financing

On Tuesday, November 25, 2014, the Assembly of Serbia adopted the Law on funding and provision of agricultural production financing.

One of the new things in the adopted Law on agricultural production financing is introduction of security on loan on a future yield as means for securing a loan.

Contract on agriculture funding will be registered at the registry of contracts on funding which will enable check on whether a lot is under a mortgage.

It is expected that participants in the system of pre-harvest funding will be, first of all, agricultural producers as lienees while banks and processors in plant production will show up as pawnees .