TORONTO — Experienced Ontario beef farmers can tap into more government-backed credit through the Feeder Cattle Loan Guarantee Program. The province on Feb. 23 doubled the loan limit to a maximum of $1 million for individual co-op members and up to $1.5 million for corporations participating in feeder cattle co-operatives — with the caveat the recipients be “experienced.”
The program offers feeder cattle producers short-term loans at below-market rates – based on the strength of a 25 per cent loan guarantee by the provincial government.
It’s intended to help them better manage fluctuating production costs and market volatility as they work to expand their businesses and ensure the sector retains the knowledge and expertise of experienced farmers. The Beef Farmers of Ontario will assist in delivering the program.
Ontario is home to almost 6,800 beef farms. In 2020, these operations produced about 740,000 beef cattle worth $1.27 billion in farm cash receipts.