PUBLISHED BY MANITOBA BEEF PRODUCERS
MAY 2025
Calving season is underway at Bar Z Ranch in the Interlake. (Photo credit: Theresa Zuk)
Producers Can Save on Interest Costs With the Advance Payments Program program for both livestock and crops in Manitoba and Saskatchewan. Each year, around 350 producers use the APP proThe federal government recently announced that the gram through MLCA, which provides up to $1 million interest-free limit for the Advance Payments Program in total cash advance payments, with the interest on the (APP) will remain at $250,000 for the 2025 program year, first $250,000 being paid by the federal government. The which is good news for beef producers facing uncertainty and potential volatility in world markets. “The APP gives producers flexibility to market their animals when they want to, provides upfront cash for inputs and other financial decisions they need to make for their operation, and saves them a lot of interest costs,” says Rebecca interest- bearing portion of the loan is at a competitive Fraser, Program Manager at Manitoba Livestock Cash rate; prime -0.25% for 2025. The loan is paid back as the Advance Inc. (MLCA), the office that administers the animals are sold throughout the loan period.
BY ANGELA LOVELL
MLCA offers advances on cattle, lamb, goats and bison and grain. The APP provides loans for different types of livestock operations including a continuous flow option for feedlots and a breeding inventory option for producers selling breeding stock. The loan covers a 24-month production period for cattle, and for other livestock and crops it is 18 months, and 12 months for the continuous flow option. To be eligible for the APP, producers must be enrolled in a business risk management (BRM) program such as AgriStability or Livestock Price Insurance. It’s a requirement that cow/ calf producer, Peter Penner of Penner Stock Farms Ltd near Winkler, who has participated in the APP program for about a decade, sees as a double benefit. page 2
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“The APP gives producers flexibility to market their animals when they want to, provides upfront cash for inputs and other financial decisions they need to make for their operation, and saves them a lot of interest costs,” says Rebecca Fraser, Program Manager at Manitoba Livestock Cash Advance Inc. (MLCA), the office that administers the program for both livestock and crops in Manitoba and Saskatchewan.