AGENCY: Farm Service Agency
Farm Storage Facility Loans
Type: Direct loans
Max Award: $500,000. Down payment and security requirements vary with the size of the loan. Terms are 5,7, 10, or 12 years, interest rates are fixed and comparable to rates on Treasury Securities.
Big Idea: On-farm storage may cost a lot to build, but it helps farmers to maximize profits. This is why the USDA has a program to finance the purchase, construction, or refurbishment of farm storage facilities. Of critical importance to those growing fruits and vegetables for the fresh market, this program finances new cold storage buildings, including prefabricated buildings having a useful life of at least 15 years. Financing may also cover site preparation, and the cooling and electrical equipment (including labor and installation) integral to the proper operation of a cold storage facility.
Who can apply:
- Bus. & Individuals: Individuals and businesses who produce "eligible commodities" including fresh fruits and vegetables and who meet other requirements.
Can you see an opportunity where you live?:
- Possibilities: On-farm packing and cooling is critical for farmers who grow fresh fruits and vegetables, especially in hot climates. Even a small packing shed and a cooler can make the differnece between having to pick and pack everything at dawn and dirve it straight to market or being able to pick and pack in the cool of the evening, get a few hours of sleep, and then drive to market.
