Changes to loan program reflect Grain Farmers of Ontario Previous Asks
GUELPH, ON (February 1, 2019) – Grain Farmers of Ontario, the province’s largest commodity organization, representing Ontario’s 28,000 barley, corn, oat, soybean and wheat farmers, today congratulates Ernie Hardeman, Minister of Agriculture, Food and Rural Affairs and his team on new changes to the Commodity Loan Program announced today.
The provincial government has extended the repayment schedule for the Commodity Loan Program, as well as increasing the funding cap from $120 million to $200 million in a two-year pilot. The Commodity Loan Program is a government initiative that supports farmers between harvest and payment during the retail process of grain production. This program allows farmers to have flexibility in their business operations and continue to build their businesses while waiting on revenue from their production.
“The 2018-2019 harvest has been a difficult one for many of our farmer members. Our farmer-members are trying to cope with high levels of DON in corn and the effects it has on cash flow during harvest and the need to purchase seed for this year’s planting season. The changes to the Commodity Loan Program that Minister Hardeman has announced will provide our farmers more flexibility in planning and ensuring business and food production continuity for themselves, their customers and consumers,” said Markus Haerle, Chair, Grain Farmers of Ontario.
In November of 2018, Grain Farmers of Ontario suggested that changes to the program would help farmers dealing with extreme harvest issues across the province, Grain Farmers of Ontario suggested:
Providing relief for cash flow concerns including extending the Commodity Loan‘s Program limit from $120 million to $200 million with increased flexibility in repayment schedules. (Grain Farmers of Ontario Unveils Creative Solutions to DON Crisis Ahead of Minister Meeting).
Grain Farmers of Ontario is the province’s largest commodity organization, representing Ontario’s 28,000 barley, corn, oat, soybean and wheat farmers. The crops they grow cover 6 million acres of farm land across the province, generate over $2.5 billion in farm gate receipts, result in over $9 billion in economic output and are responsible for over 40,000 jobs in the province.