Thursday, August 15, 2019

Cash advance clients get six more months

Farmers who hold cash advances against grain and oilseeds crops have an extra six months to pay before they are declared in default. 

So far that does not include Ontario.

Agriculture Minister Marie-Claude Bibeau said the payback deadline has been extended to March 31 next year because Canadians have experienced marketing difficulties this year, an apparent reference to China’s suspension of canola purchases, India’s increased tariffs for pulses and delivery challenges at China’s ports for Ontario soybeans.

She named a list of cash advance program administrators whose clients are eligible, and neither Ontario provider is on that list.

Earlier this year the government increased the maximum cash advance to $1 million. The advances are helpful because the federal government pays the interest on the loans until they come due.

Participating administrators are the Agri-Commodity Management Associationd in Nova Scotia, Alberta Sugar Beet Growers, Alberta Wheat Commission, BC Breeder and Feeder Association, Canadian Canola Growers Association, Manitoba Corn Growers Association Inc., Manitoba Livestock Cash Advance Inc., Producteurs de Grains du Qu├ębec and Western Cash Advance Program Inc.