Farm Credit Canada (FCC) is offering assistance to customers across the Prairies and in British Columba affected by current grain marketing issues resulting from record high volumes.
While last fall’s record harvest is good news for producers, many in Western Canada are experiencing delays in being able to deliver and convert their crop to cash.
“We are aware that this situation could impact our customers’ ability to run their operations, so we’re reaching out to inform them of the various options available to reduce the impact on their business,” said Rémi Lemoine, FCC’s Executive Vice-President and Chief Operating Officer. “We’re problem-solvers. Our customers benefit when we effectively manage risk and offer flexibility and knowledge to help them do business.”
FCC is contacting more than 16,000 customers potentially impacted by delays in grain delivery and will explore options to address their individual needs.
Producers who have not already done so, are encouraged to consider applying to the federal Advance Payments Program (APP), a financial loan guarantee program that gives producers easier access to credit through repayable cash advances.
Under the APP, the federal government guarantees repayment of cash advances issued to farmers by producer organizations. These guarantees help producer organizations borrow money from financial institutions to issue producers a cash advance on 50 per cent of the anticipated value of their farm product that is being produced or is in storage. Eligible producers can receive an APP advance of up to $400,000 at a preferential interest rate, with the government paying the interest on the first $100,000. Producers repay their advance, as their product is sold.
Customers are also encouraged to contact their FCC relationship manager or the FCC Customer Service Centre at 1-888-522-2555 as soon as possible to discuss their individual situation and options.
“Flexible solutions tailored to each situation serve as the cornerstone of FCC’s business,” Lemoine said. “Our commitment to the agriculture industry is what sets us apart. With FCC in the market, producers benefit, agriculture benefits, and so does rural Canada.”
For more information, visit www.fcc.ca. Follow Farm Credit Canada on Facebook, LinkedIn and on Twitter @FCCagriculture.