The Quebec government on Thursday announced the creation of an emergency relief account for Quebec farms hit by inflation of up to $100 million.
This new measure allows eligible companies to benefit from a $50,000 working loan guarantee with no principal or interest refund for the first three years.
This financial support could reach $100 million.
“This initiative is being launched to support the next generation and farmers facing financial difficulties or anticipating short-term liquidity needs, particularly due to rising interest rates,” the Department of Agriculture, Fisheries and Food said Thursday, via press release .
This new emergency relief account complements the various insurance and income protection programs that take into account price and production cost fluctuations.
“With the aid announced today, we are ensuring our farmers have quick access to the cash they may need to continue their operations. “We don’t want to leave anyone behind, especially young farmers who represent the next generation in the industry,” said André Lamontagne, Minister of Agriculture, Fisheries and Food and Minister responsible for Centre-du-Quebec.
For his part, President and CEO of La Financière agricole du Québec, Ernest Desrosiers, said he was “aware that the current inflationary situation is a concern for some farmers.”
“Amounts are available to allow our producers to continue their operations while also having sufficient short-term liquidity to ensure the continuity of their operations,” he added.