Mesut Zeytin
Tahsildar
Sales Director for Turkey’s Aegean and Mediterranean Regions

In an era where the agricultural sector grapples with economic and environmental challenges, digitalization and financial literacy are critically important for farmers engaged in animal and crop production. The “Credit with Collection” model, integrated with Farmer Registration System (ÇKS) data, provides producers with fast and transparent financing. This innovative approach supports the sustainability of agriculture and rural development.

Drought, global crises, and rising input costs... The agricultural sector has been grappling not only with nature but also with economic challenges in recent years. In countries like Turkey, where agricultural production remains strategically important, the impact of these crises is felt even more deeply. Yield losses threaten food security, while producers need not only efficiency but also financial sustainability to stay afloat.

SEASONAL ECONOMY, CONSTANT FINANCING NEEDS

Agriculture, by its nature, has a seasonal economic structure. Planting and harvesting occur once a year; however, payments for inputs like fertilizers, seeds, and pesticides are made upfront. This extends the period between production and income, putting financial pressure on farmers. Maintaining this balance is critical not only for production but also for rural development and macroeconomic stability.

For many years, public banks met the financing needs in this sector, but recently, private banks, fintech startups, and cooperatives have also started to participate. Producers can now purchase inputs on credit through channels like agricultural cards, dealers, and POS systems. However, it is difficult to say that this structure is equally accessible to all farmers.

LOW AWARENESS OF FINANCIAL LITERACY

In Turkey, many farmers still lack basic financial literacy. A study conducted at Kastamonu University shows a significant increase in farmers’ use of banking products as their education level rises. According to FAO reports, financial literacy training directly impacts producers’ willingness to invest in digital solutions. However, this awareness is not evenly distributed across all rural areas. This creates a scenario where many producers still rely on traditional methods, struggle to access credit, and remain distant from technology.

DIGITALIZATION MAKES CREDIT PROCESSES TRANSPARENT

One of the most significant turning points in agricultural financing was the integration of Farmer Registration System (ÇKS) data with the Credit Registry Bureau (KKB). This development made producers’ activity history, income profiles, and production cycles visible to the financial system. As a result, banks can now use scoring models tailored to the agricultural sector, beyond traditional individual or commercial credit procedures. Terms and limits are shaped according to the farmer’s production calendar. This provides significant ease of access to financing, especially for small-scale producers.

A NEW MODEL IN CREDIT AND COLLECTION

One concrete example of this digital transformation is the “Credit with Collection” model launched through the collaboration between Tahsildar and Fibabanka. In this system, producers can learn their harvest-term credit limit with just an SMS while shopping at dealers. The application process, which requires no paperwork, guarantors, or collateral, is completed in minutes. The entire system operates in integration with ÇKS data, and the payment plan is automatically prepared based on the producer’s harvest schedule.

The system benefits not only the producer but also the dealer. The dealer receives payment instantly, while the producer can defer payments until the harvest period. This minimizes financial risks for both parties. Tahsildar is not just a credit tool; it also offers a comprehensive digital collection infrastructure, from POS systems to ERP integration. All these processes are managed through a single panel, with reporting, inventory, and payment tracking conducted via a centralized system.

THE FUTURE: SUSTAINABLE, DIGITAL, AND ACCESSIBLE FINANCING

The future of agriculture depends not only on production capacity but also on producers’ ability to access the right financing when needed. Today’s farmer must be strong not only in the field but also on digital platforms. At this point, next-generation solutions like Tahsildar enable farmers to access financing quickly, transparently, and sustainably.

For a more inclusive structure, farmers’ digital and financial literacy must be improved, cooperatives’ integration into digital platforms strengthened, and data-driven models like ÇKS-KKB expanded. This new era in access to financing has the potential to transform not only agriculture but the entire rural economy.

The digitalization of agriculture is no longer just a technological innovation; it is also the key to rural development and economic resilience.