December 19, 2007

Canada grants livestock producers additional $1 billion in loans

The Canadian government is making an additional CAN1 billion (US$992 Million) in loans to pork and cattle producers, Federal Agriculture Minister Gerry Ritz announced.

Ritz said producers could get up to CAN $400,000 (US$397,000) each, with the first $100,000 (US$99,000) interest-free.

The grant is aimed at helping pork and cattle producers faced with rising feed costs, a strong Canadian dollar and falling exports.

However, the loans may not be the solution farmers were looking for.

Brad Wildeman, a vice-president of the Canadian Cattleman's Association told Canadian Press that producers may not want to get into more debt currently with the troubles they are facing.