Packing Plant

[Sawbones]

Did anyone get the details on the announcement of funding for packing plants in the federal budget by Minister Ritz

[grassfarmer]

The report I heard said details would be announced next week. Lets hope the funds will be used to build 25 $2 million plants rather than giving $30 million to Cargill and $20 million to Tyson/XL.

Also announced was an extension to the repayment window of the Advance Payments Program. Instead of repayment being due by Sept.30 2009 it will be extended to end Sept. 2010.
On top of that there was already emergency advances announced that meant you could borrow now against your unborn 2009 calf crop with repayment due 12 months after you receive the loan. As I understand it today's announcement means you can now claim this emergency funding now and not have to repay it until Sept.30 2010. All beef producers will qualify for the emergency funding because the industry has basically been declared a disaster zone, it's not as if you have to prove specific hardship on your operation.

Man, I think that is a big risk the Feds are taking - handing out money to drowning men,the potential for default is enormous. The advances are interest free for the first $100,000 with an upper limit of $400,000.
I would rather see the Government act on the root causes of the current crisis but this is still a hell of a program if you use it wisely.