New government loans help farmers store perishable crops longer

Dec 05, 2024
By Farms.com

Farm storage loans now cover controlled atmosphere systems

The U.S. Department of Agriculture (USDA) has expanded its Farm Storage Facility Loan (FSFL) program to support the construction of controlled atmosphere storage.

These storage systems regulate oxygen, nitrogen, and carbon dioxide levels to keep perishable crops fresh for longer periods, reducing spoilage.

“Controlled atmosphere storage facilities are widely used by the seed grain industry here in Oklahoma. Our growers can now benefit from having this type of storage facility added to the list of eligible structures for Farm Storage Facility Loans, allowing producers to extend the shelf life of the commodities they grow and market,” said Steve Kouplen, FSA State Executive Director in Oklahoma.

FSFLs can be used to build or upgrade storage facilities, and to purchase equipment such as sensors and gas monitors that ensure optimal storage conditions. This financing is available to a variety of agricultural operations, including small businesses and underserved producers.

Loans can range from $50,000 to $100,000, with additional security required for loans exceeding $100,000.

The program is designed to help farmers store perishable commodities like fruits, vegetables, and flowers, which are vulnerable to spoilage if not stored correctly.

Farmers interested in applying can contact their local USDA Service Center for more details. With these low-interest loans, USDA is helping farmers build the infrastructure necessary to improve the efficiency and profitability of their operations.

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