$4 Million Loan Support Program for Hog Producers
AGRICULTURE/FISHERIES--$4 Million Loan Support Program for Hog Producers
Four million dollars in provincial government loan support will be made available to Nova Scotia pork producers. The program will help the industry through a difficult time of declining market prices. Agriculture and Fisheries Minister Ernest Fage made the announcement today, Nov. 27.
"This loan-support program is a way we can provide funding to the hog industry to help them get through this rough time." said Mr. Fage. "We did not make this decision lightly: there has been considerable consultation on how best to help the industry."
Market prices for hogs have been steadily declining to the point where the cost of production is more than the price the farmer is able to get at market. The market price per hog has gone from over $150 in the summer, to as low as $93 this fall. The industry has identified over $3.5 million in potential losses due to declining market prices this year. Safety-net programs established to assist the industry with low-income years are currently coming in place and this loan-support program will provide additional help to those farmers who need immediate working capital.
The program will be available to individual producers and will be based on the market prices until they exceed $145 per market hog and/or the $4 million loan capital is used.
"Farmers have been experiencing financial and personal stress in the last several months," said Mr. Fage. "Hopefully this loan program will offer some reprieve from that pressure."
The department is discussing with industry and its federal and provincial counterparts how to build on existing business risk management programs.
Nova Scotia's hog industry is made up of about 80 producers who raise more than 200,000 market hogs for processing in plants in Berwick, Kingston and Antigonish.
The hog industry in Nova Scotia employs over 1,500 people and contributes $100 million to the Nova Scotia economy.
Additional information regarding the loan-support program is available by calling the Nova Scotia Farm Loan Board at 902-893- 6506.