Saskatchewan cattle and sheep producers who took out breeder loans under the province’s Livestock Loan Guarantee (LLG) program may now opt to defer principal payments for a year.
The province on Friday announced the extension, which Agriculture Minister Bob Bjornerud said will “help producers address cash flow concerns and purchase feed.”
With this extension, producers who have taken out breeder loans through a breeder association can apply to have their principal payments extended for one year, but still must make their interest payments.
Producers who have already made their payment in 2009 are eligible for a year-long deferral on their next principal payment, the province said.
Saskatchewan, as of May 31, has 1,824 producers with loans through a breeder association.
The LLG program, introduced in 1984, is made up of 93 producer-formed associations that access funding for purchasing livestock and building feedlot facilities. Since its launch, producers have used the LLG to access over $1.5 billion in financing, the province said.
The extension is meant as a break for livestock producers who Bjornerud said “continue to face a number of challenges.”
