Canola Growers kick-starts cash advance program

Earlier applications, better service and lower costs on offer this year

Canola Growers kick-starts cash advance program

The Canadian Canola Growers Association is reminding farmers 2018-19 cash advance applications are now available.

CCGA says it’s giving farmers a jump-start on spring with the group’s earliest-ever pre-application period and a reduced administration fee for its Advance Payments Program.

“Many farmers take advantage of an intended seeded advance, which provides them with cash flow prior to planting,” Rick White, CEO of CCGA, said. “We’ve already had calls from many farmers anxious to get their cash advance paperwork finished so they can focus on spring work once conditions are suitable.”

Dave Gallant, CCGA’s director of operations who oversees the program, said the changes will serve farmers better.

“By applying in March, farmers can have their advance processed during our pre-application period, which means their advance could be approved and advance funds available to them early in April,” Gallant said.

CCGA will begin issuing advance funds to farmers on Tuesday, April 3.

Recent investments by CCGA in new technology and process improvements will enable faster response times and lower costs, White said.

“(This has) allowed us to reduce our administration fee from $150 to $50 per application, while maintaining our high level of customer service,” he said in a media release.

Through CCGA, farmers can access advances on 45 field crop and livestock commodities. Farmers can apply for a cash advance of up to $100,000 interest free and an additional $300,000 at prime. Combined, that amounts to $400,000 at a blended interest rate of below prime.

Farmers wanting to apply for a cash advance can call CCGA’s Winnipeg office at 1-866-745-2256 to apply over the telephone. They can also download an application form from CCGA’s website.

For farmers who have short-term financing needs, CCGA will continue processing applications for the 2017-18 cash advance program through March. The final date CCGA can issue an advance under the current program is March 31, 2018, and the deadline for repayment on a 2017-18 grain advance is September 30, 2018.

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