The Beef Farmers of Ontario (BFO) is extremely appreciative of the Ontario government's commitment to increase the government guarantee under the Feeder Cattle Loan Guarantee nmprogram from $32.5 million to $65 million. This announcement was made this morning at Queen's Park in advance of BFO's 12th Annual Beef Barbecue hosted on the lawn of the legislature.
Doubling the government guarantee will provide farmers access to an additional $130 million in affordable financing. This much-needed increase will allow farmers to purchase more cattle, expand their operations, make new investments and help ensure a sufficient supply of feeder cattle for the industry's processing partners.
"Fostering a competitive and sustainable beef industry is our number one priority," states Matt Bowman, BFO President. "Increasing the Ontario government guarantee under the Ontario Feeder Cattle Loan Guarantee Program will certainly support new and existing beef farmers, vital infrastructure across the province, and ensure that we can maintain a consistent supply of high quality beef for our consumers."
Strong cattle prices over the last two years combined with the widespread popularity of the program have nprevented farmers from taking full advantage of the maximum loan amounts provided under the program, as well as removed the ability of many local co-operatives from taking on new members – in particular, young mfarmers who account for over a third of existing program participants.
“By doubling the cap for loan guarantees, combined with the increased lending limits we put in place last year, our government is continually committed to working with Ontario’s beef industry," shares Jeff Leal, Ontario Minister of Agriculture, Food and Rural Affairs. "These improvements mean greater access to a successful program that is providing vital support for our growing beef industry, especially for new beef farmers looking to take the next step in building and expanding their business and herds. The purchasing power provided through the loan guarantee program will help to close market gaps, while ensuring Ontario beef farmers are competitive both domestically and in our rapidly growing export markets.”
Conversations at Queen’s Park have been vital in helping MPPs understand the value and importance of the Feeder Cattle Loan Guarantee program. BFO is thankful for the leadership shown on this file by The Honourable Jeff Leal, Ontario Minister of Agriculture, Food and Rural Affairs, and for his recognition of the significance and impact that this program has on the Ontario beef sector and broader agri-food economy.
Source: OntarioBeef