Indiana livestock farmers benefit from low interest rate loan program

Louisville, Kentucky – March 12, 2008 – In the current unprecedented agricultural environment where farm input costs are increasing at a double digit pace, Farm Credit Services of Mid-America (FCS) has joined forces with the Indiana State Treasurer’s office to distribute up to $25 million in low interest rate loans to Hoosier livestock operators. The reduced interest rate financing program, called the Treasurer’s Agricultural Loan Program (TALP), offers interest rates as low as 3.5% to help livestock farmers with the costs associated with their operations including feed, labor and production-related energy.

The funds are disbursed through select financial institutions throughout the state, including FCS, an agricultural-financial cooperative serving over 82,000 farmers throughout a four state territory. 

According to Dick Poe, senior vice president – financial services for FCS in Indiana, the program is a welcome relief in the ag industry. “Many of our Indiana livestock farmers have been hit pretty hard with heavy rains and freezing temperatures last spring, followed by drought conditions last summer causing hay yields to significantly decrease while prices have almost doubled,” he said. “Added to this weather and financial stress is a brand new era of commodity prices triggered by bio-fuels and exports. Record prices are good, but profits are being challenged by rising input costs,” he said. “Crop inputs, cash rents, the price of land, and energy costs are skyrocketing, changing the cost structure of agriculture. We’re glad that we can offer our livestock customers options when it comes to financing their input costs.”

Indiana livestock farmers whose annual gross sales are $250,000 or less are eligible for the low-interest rate program. For more information, call your local Farm Credit office at 1-800-444-3276 or visit them online at www.e-farmcredit.com.

About Farm Credit Services

Farm Credit Services of Mid-America is a $13 billion financial services cooperative serving over 82,000 farmers, agribusinesses and rural residents in Kentucky, Ohio, Indiana and Tennessee. The association, which celebrated its 90th anniversary serving rural America in 2006, provides loans for all farm and rural living purposes including real estate, operating, equipment and housing and related services such as crop and life insurance and vehicle, equipment and building leases. For more information about Farm Credit, call 1-800-444-FARM.

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