Agricultural report for Monday, June 27, 2022
The federal government responded to a request from Ukraine to strengthen grain storage.
Prime Minister Justin Trudeau said the $50 million will help prevent grain wastage in Ukraine.
Ukraine is facing a shortage of storage facilities for the 2022 grain harvest due to the Russian invasion.
Ukraine’s agriculture minister told Reuters in the fall that the corn harvest was over, the lack of storage capacity could reach up to 15 million tonnes.
He did not specify which storage facilities Ukraine would receive.
The Canadian Canola Growers Association (CCGA) said a recent change to the Advance Payments Program (APP) could save farmers using the program up to $5,500 in interest costs during of the next two years.
The interest-free portion of a cash advance will increase from $100,000 to $250,000 for the 2022 and 2023 programs.
CCGA Director of Finance and Operations Dave Gallant said the change took effect June 20.
“We look forward to working out program details with APP staff as soon as possible so that farmers, both those who already have their 2022 cash advance and those who will apply for it in 2022, can benefit. of these changes,” Gallant said. . “With higher input costs, rising interest rates and continued pressure from weather impacts and supply chain challenges, many farmers will be keen to access the increased benefit soon.”
Through the CCGA, farmers can access advances on more than 50 commodities, including crops, livestock and honey. The interest-bearing portion is subject to prime interest less 0.75%.
The Advance Payments Program is a federal loan program administered by the CCGA. It provides Canadian farmers with marketing flexibility through low-interest, no-interest cash advances.
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