Business & Policy
ACC Farmers’ Financial partners with FNA
Mar. 13. 2012, Saskatoon, SK - ACC Farmers' Financial (ACC), a not-for-profit organization comprising 19 producer associations and marketing boards has signed an agreement designating Farmers of North America (FNA) to offer its national farm cash Advance Payments Program (APP) and its provincial Commodity Loan Program (CLP).
Currently operating primarily in Ontario, ACC administers loans for several thousand agricultural products across different sectors of agriculture from beans and beef to tobacco and zucchini. ACC is the exclusive provincial administrator for the Commodity Loan Program in Ontario and is a nationally appointed administrator of Agriculture and Agri-Food Canada's Advance Payments Program.
Since its inception, ACC Farmers' Financial has delivered over $2 billion in operating funds to Canadian producers.
FNA is a private farmer business alliance with 10,000 members across Canada, with a business mission dedicated to improving farm profitability.
"ACC delivers the first $100,000 of a cash advance interest-free," said Terry Drabiuk of FNA. "Free use of money is a great way to improve farm profitability, so this is a project that definitely fits the FNA mission and we are committed to growing the number of farmers who benefit from the great programs at ACC."
"We certainly took note of the increasing role FNA is playing in Canadian agriculture," said Jaye Atkins, CEO ACC Farmers' Financial, "and we see the relationship as a great opportunity to grow the benefits for farmers across Canada."
The Advance Payments Program provides up to 18 months of financing for commodities that are commercially sold, with up to $100,000 interest-free and an additional $300,000 available at Prime Interest Rate.
FNA will handle the day to day operations for its members, receiving and submitting applications while ACC retains all legal authorities and accountabilities to its stakeholders.
Coverage will include the production of grains and oilseeds for commercial sale (i.e. corn, soybeans, wheat, and canola), horticultural crops, animal feed, and more. FNA will offer these crops initially in Ontario with the objective to take the program across the nation. "Right now a diversified Ontario farmer can apply for an advance on his wheat, livestock and his cucumbers all at one time using a simple process," explained Drabiuk.
Atkins added, "ACC Farmers' Financial doesn't just provide financing for one small portion of your agricultural business - we provide financing in all areas of the development of your products, from planting, through harvesting, right until your product goes to market."
Drabiuk also noted that FNA recently partnered with the British Columbia Agriculture Council whose members grow a wide range of crops, and FNA hopes to make the benefits of ACC interest-free cash advances more available to horticulture industry in that province, through the prairies and across Canada.
March 14, 2012 By FNA and ACC