Ogen, a social lending company providing credit solutions and financial advice to low- and middle-income Israelis, has launched a wide-ranging program aimed at revitalizing the agricultural sector amid ongoing challenges posed by the ongoing war.
As part of its extensive Swordsof Iron emergency relief fund, Ogen is introducing two distinct loan programs, tailored to meet the pressing needs of farmers in Israel. The Hamas attack on October 7 caused significant damage to Israel's agricultural sector, particularly in the southern regions where most of the country's fruits and vegetables are grown and where Hamas deliberately targeted agricultural land, destroying equipment and products.
The resulting challenges, exacerbated by labor shortages and transport disruptions, have rippled across the sector, leading to rising prices of essential goods. As a result, looming shortages and logistical hurdles portend further economic hardship for farmers.
To meet farmers' most urgent needs, the Farmers' Immediate Relief Track, in collaboration with Leket Israel, Israel's leading food relief organization, will provide crucial financial support to small farmers. Those who are eligible can access loans of up to 300,000 shekels over a five-year period.
"Ogen stands in solidarity with Israeli farmers and recognizes their unwavering dedication to the current situation. Whether providing mid-sized loans to small farmers in need of immediate financial support or facilitating long-term investments term for those looking to strengthen their actions, these measures illustrate our commitment to empowering farmers at every stage of the war,” said Sagi Balasha, CEO of Ogen.
This pilot program, initially focused on the Southern and Northern regions, has potential for broader expansion in the future. Through strategic partnerships with key stakeholders such as Hashomer Hahadash and Regrow, Ogen will facilitate prime loans of up to NIS 1 million over a ten-year term. In addition to financial assistance, participants will have access to valuable mentoring opportunities.
“Israeli farmers have been the largest donors of food since Leket Israel was founded more than 20 years ago. During this difficult time, it is our responsibility to help them and not only ensure the continuity of their means of subsistence, but also that of Israeli agriculture as a whole", underlined Gidi Kroch, CEO of Leket.
Separately, Ogen recently unveiled ambitious expansion plans aimed at doubling its impact. Having already raised $55 million for its fundraising efforts, the organization is aiming for a new goal of $100 million, with the goal of helping more than a quarter of a million people in need.
Caroline Haïat
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