Higher Cash Advance Limits Available To Farmers Within Days3 months ago -
On June 3, Agriculture and Agri-Food Minister, Marie-Claude Bibeau, announced that new regulations increasing the allowable limits available to farmers under the Advance Payments Program (APP) will be effective as of May 29, 2019.
“The implementation of these regulations means that farmers facing cash flow challenges in Canada will now have access to up to $500,000 interest-free for the 2019 program year and up to $1,000,000 total on a permanent basis,” says Rick White, Chief Executive Officer at the Canadian Canola Growers Association (CCGA). The interest-free component includes up to $100,000 for any commodity eligible under the program, plus an additional $400,000 for canola only.
“Time is of the essence, so we’re very glad to see the enacting regulations implemented, which means farmers will soon have access to this expanded program,” says Bernie McClean, President of CCGA. “With uncertainty over markets and farm cash flow being such a big concern this year, we are encouraged by the Minister’s commitment to have the enhanced benefits under the APP being available to farmers beginning June 26, 2019.”
“We are working closely with government officials to implement all the necessary changes so that administrators are able to issue advances under the new limits beginning June 26,” says White. “CCGA’s new application forms will be available for farmers to complete over the telephone, online or by download beginning June 10.” Farmers will be able to complete a pre-application anytime between June 10 and June 25, and CCGA will begin issuing advances under the new limits starting June 26.
With the increased interest-free limit for canola being in place as of May 29, CCGA will be reassessing all current CCGA advances and reallocating the interest-free and interest-bearing portions of those advances in a way that maximizes the interest-free benefit available to eligible farmers.
Farmers are reminded that they can continue to apply for advances under the existing program limits of $100,000 interest-free and $400,000 maximum at any time. CCGA began issuing advances under the 2019‑20 APP on April 1, 2019. Farmers are encouraged to go to www.ccga.ca for updates or call 1‑866‑745‑2256 to speak with a CCGA Contact Centre representative.
“We thank Minister Bibeau and the program staff for their diligence in getting the necessary changes made so the expanded program is accessible to Canada’s farmers in a timely fashion,” says McClean.
Source: Alberta Canola