Recently, at the 2025 Government-Financial-Enterprise Symposium and the Launching Ceremony of the Pilot Policy for Livestock and Poultry Live-Asset Mortgage Loans held in Wanshan District, Tongren City, Tongren Rural Commercial Bank, together with Guizhou Huacheng Animal Husbandry Co., Ltd. and Wanshan Ruichang Fei Food Co., Ltd., signed on-site agreements for live cattle mortgage loans. This move marks the official launch in Wanshan District of a brand-new financing model that integrates “live asset registration + bank credit approval + insurance protection + technology-based supervision.”

“Previously, we couldn’t get a loan because we lacked compliant collateral. Now, our beef cattle have become ‘liquid assets,’ and the bank has extended us a credit line of 20 million yuan—of which the first tranche of 5 million yuan has already been credited to our account!” Yang Dechang, Chairman of Wanshan Ruichang Fei Food Co., Ltd., couldn’t hide his delight. He explained that the company is currently upgrading its production lines to meet Hong Kong’s supply standards and urgently needs funding. This new collateral-based lending mechanism precisely addresses the longstanding pain points of enterprises: difficulty in obtaining financing, high financing costs, and low credit limits. Moreover, Yang Dechang revealed that the company plans to use 1,000 head of cattle as collateral for financing, saving over 100,000 yuan just in interest rates alone. Several large-scale breeding enterprises upstream from the company are also benefiting from this financing support. A new model of livestock industry cluster development—characterized by “leading enterprise driving and collaborative synergy along the entire chain”—is gradually taking shape.

For a long time, live livestock and poultry have been difficult to become collateral assets recognized by financial institutions due to challenges in valuation, high risks, and complex regulatory requirements—this has become a major bottleneck hindering the development of livestock and poultry breeding enterprises. To break this impasse, the government of Wanshan District has taken the lead in issuing the "Implementation Plan for Live Livestock and Poultry Pledge Loans in Wanshan District, Tongren City (Trial)," which integrates the efforts of multiple departments—including agriculture and rural affairs, finance, and insurance—to establish a comprehensive service mechanism covering the entire process: live animal registration, value assessment, credit approval, risk insurance, loan disbursement, and post-loan management. This initiative has laid a solid institutional framework for financing through live livestock and poultry pledges.

“Leveraging the People’s Bank of China’s relending mechanism, we’ve innovatively launched a credit product centered on beef cattle as collateral, adopting a ‘single credit approval with revolving credit usage’ approach. At the same time, relying on a framework of ‘bank + insurance + live-asset collateral + technology-based supervision,’ we’re equipping beef cattle with smart ear tags for real-time monitoring and providing complementary insurance coverage, thereby addressing the challenge faced by agricultural entities lacking traditional collateral,” said Zhang Jun, Deputy President of Tongren Rural Commercial Bank. He added that this model not only helps farmers increase their income but also strengthens the “engine” driving rural revitalization.

According to statistics, since the pilot program was launched in Wanshan District, Tongren Rural Commercial Bank has provided cumulative credit exceeding 30 million yuan and completed live cattle registration for more than 160 head. This has helped three livestock operators address funding challenges related to purchasing live cattle and expanding their operations. “From ‘live cattle cannot be used as collateral’ to ‘live cattle can be monetized,’ we’ve broken through the ‘last mile’ of financing for the livestock industry thanks to innovative mechanisms,” said Luo Jun, Deputy Director of the Wanshan District Bureau of Agriculture and Rural Affairs. He added that this model has effectively solved financing difficulties faced by livestock operators and injected new vitality into the high-quality development of Wanshan’s livestock industry.

Next, Wanshan District will aim to foster and strengthen new-quality productivity, further improve the supporting infrastructure for industrial sectors, create a business environment with significant cost advantages, and propel the district’s economic and social development to a new level of high-quality growth. (Liu Xiaoxue, Pan Yanyu, Chen Liang)