Regina, Sask. (Rural Roots Canada) – Farm Credit Canada is broadening a financial assistance program to help producers, agribusinesses and food processors cope with rising fertilizer and energy costs tied to instability in the Middle East.
The federal Crown corporation said Thursday it is expanding its Trade Disruption Customer Support Program, which was first launched to address the effects of trade tariffs on Canadian agriculture. The program will now also cover financial pressures from broader market disruptions.
Prices for nitrogen-based fertilizers have climbed in recent weeks as concern grows over potential supply interruptions from the Middle East.
READ MORE: ‘Fluid Situation’: Fertilizer Canada monitoring costs as conflict in Iran rages on
“When global tensions rise, producers are often left wondering how their input costs might be affected,” said Justine Hendricks, president and chief executive of FCC. “While we cannot control those events, we can make sure producers have the financial flexibility they need to manage uncertainty.”
Under the expanded program, existing FCC customers and new clients who meet lending criteria can apply for an additional credit line of up to $500,000, new term loans, or a deferral of principal payments on existing loans for up to 12 months.
FCC economists have also published an analysis on potential impacts to fertilizer availability and pricing for Canadian producers, available at fcc.ca.
Producers interested in learning more can contact their local FCC office or call 1-800-387-3232. All applications are reviewed through FCC’s standard approval process.
