Farm Credit Canada announces new replacement heifer program
Program aims to help reduce cash flow pressures
30 October 2023
2 minute read
By: Farm Credit Canada (FCC) has announced a new FCC Replacement Heifer Program to help Canadian cattle producers in maintaining or expanding their herds.
The Canadian beef cattle inventory was pegged by Statistics Canada at 10.3 million head earlier this year which is a decline by four per cent since 2017. The cattle sector is an important part of the agriculture industry, that contributes over $24 billion annually to the economy and plays a critical role in maintaining the health of grasslands. FCC wants to ensure Canada’s cattle ranchers have access to the financial levers they need to plan for the future.
“The drought conditions this summer affected a large cattle producing area in Western Canada and right now ranchers are making decisions about how to best manage their herds,” said Sophie Perreault, FCC’s chief operations officer. “The Heifer Replacement Program will help reduce cash flow pressures for those who want to maintain or grow their herd.”
The program consists of a loan with a maximum two-year period of interest only and a maximum life of seven years. For this loan, variable interest rates will be capped at prime plus 1.5%, and loan processing fees will be waived.
“FCC is here to partner with customers in coming up with financial solutions that will continue to support the well-being and longevity of Canadian cattle herds,” Perreault said. “If ranchers have other needs beyond heifer financing, I invite them to contact the FCC team.”
“The Saskatchewan Stock Growers Association appreciates FCC’s response to the current needs of livestock producers,” said Garner Deobald, SSGA president. “This FCC program will help producers rebuild or maintain their herds after consecutive years of drought.”
