For Immediate Release
Advance Payments Program Improved to Help Producers
Yesterday Federal Agriculture Minister Gerry Ritz announced changes to the Advance Payments Program (APP) that will improve both agriculture and livestock producers’ cash flow over a given year. The APP is a loan program that helps agricultural producers with their cash flow which provides them with more options for marketing their products and meeting their financial obligations.
Highlights of the changes include the ability for producers to now enter into multiyear agreements thereby reducing paperwork, easing access to the Program for producers, providing more repayment options and strengthening the program overall. “The Advance Payments Program really gives producers more opportunities to be competitive in the marketplace” said Ray Orb President of the Saskatchewan Association of Rural Municipalities (SARM).
President Orb continued by saying, “These changes will give more producers more cash so that they are in a better position to meet their financial obligations and market their products better.” This is evidenced by the ability for cattle producers to move their marketing from the fall run to another time and those accessing the Program get the first $100,000 interest free. The maximum advance amount is $400,000.
These improvements are a part of the Agricultural Growth Act that came into force in February of this year. Some of the changes will take effect on April 1, 2015, while other amendments will not be implemented until related regulations are finalized.
“SARM, the Voice of Rural Saskatchewan”