Ontario farmers have access to a number of farm finance programs, including the Advanced Payment Program (APP) and Commodity Loan Program.
The APP can help farmers manage cash flow by providing up to $100,000 in interest free loans and an additional $300,000 at prime interest rate. These loans can be paid back over an 18-month period and are available to over 4,000 commodities. Livestock producers can also call the Agricultural Credit Corporation (ACC) to apply for the Commodity Loan Program, which provides up to $750,000 in loans to finance eligible inputs, repaid over a 14-month period at prime interest rate.
In 2016, several amendments in the agricultural Marketing Programs Regulations and sections of the Agricultural Growth Act came into effect. These amendments improved the APP by expanding eligible commodities to include cervid antler velvet, bees intended for market, breeding cattle, hogs, sheep and goats intended for market. Farmers are also now allowed to repay advances without penalty if they decide to wait to market the commodity until conditions are more favourable. And farmers are now allowed to repay advances without penalty if agricultural product becomes unmarketable through no fault of the producer.
Farmers can contact the Agricultural Credit Corporation (ACC) for additional information and to apply for the APP or the Commodity Loan Program by calling 1-888-278-8807.
OFA provides support through our Member Service Representatives to members inquiring about farm finance programs.