Canadian producers get payback extension

Canadian cattle and hog producers facing tough financial times now have until September 30, 2010 to repay cash advances under the Advance Payment Program, announced Agriculture Minister Gerry Ritz.

The first US$100,000 of each producer's advance will continue to be interest-free.

The extension of the deadline applies to regular and emergency loans taken by cattle and hog producers during the 2008-09 production periods.

The Stay of Default covers more than US$450 million in advances to the livestock sector.

Ritz said thousands of farmers across the country have taken advantage of APP loans and this extension will keep them in business and provide relief during the current credit crunch.

He said the government will continue to work with livestock producers and their organisations to address the issues facing the sector.

Canadian cattle and pork producers can still apply for APP emergency advances until March 31, 2009.