Alberta’s government is increasing the total provincial loan guarantee to $150 million for cattle and sheep producers buying and feeding livestock for market.
The Feeder Association Loan Guarantee Program helps local, producer-run co-operatives obtain financing, as the government provides an overall loan guarantee. Today’s announcement is a $50 million increase over the former limit.
Nate Horner, Minister of Alberta Agriculture and Irrigation, says feeder associations are essential to the province’s agriculture industry, and the rural economy.
“We are increasing the feeder association loan guarantee to make sure Alberta’s livestock producers have access to capital they need to make it through the busy fall and winter,” Horner said, in a recent press conference. “With cattle prices up 25 per cent, this increase will allow Alberta’s feeder associations greater access to low-interest capital loans.”
The program, which typically finances 17 to 24 per cent of the calf crop each year, is used by 45 local feeder associations, supporting 2,000 livestock producers who are members of their local feed associations in Alberta.
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