The Ontario government is beefing up the province’s Feeder Cattle Loan Guarantee Program.
In an announcement Monday, the government said available funding for beef farmers under the program – which provides low-interest financing to support the short-term needs and long-term growth of feeder cattle co-operatives and their members – will increase to $500 million from the current $240 million.
The government is also doubling the maximum loan a farmer can access and making other changes to better support the industry. The changes include administrative changes that will allow the Ministry of Agriculture, Food and Agribusiness to move funding allocations more easily between feeder co-ops to better meet producer demand, said a provincial release.
Financing for the Loan Guarantee Program is provided by private sector lenders, with the Ontario government guaranteeing the value of 25% of the loans.
Additionally, the government said it is investing $2 million over four years in the Ontario Beef Market Development Program. Funding will be used to support activities that enhance the competitiveness of Ontario products at home and beyond provincial borders, support the expansion of existing Ontario beef brands, and aid in the development of new Ontario beef brands.
Eligible activities include participating in trade shows and trade missions and welcoming potential out-of-market buyers to tour Ontario beef farms and processing facilities.
“Our province’s Grow Ontario Strategy commits to strengthening the province’s agriculture and food supply chain and increasing agri-food trade by eight per cent per year,” said Rob Flack, Minister of Agriculture, Food and Agribusiness. “The actions we’re announcing today support both of these goals and will help Ontario’s beef sector capture new opportunities now and in the future.”
