The Farm Service Agency continues to offer micro loans for added-value agriculture.
Marsha Laux is program coordinator at Iowa State University Extension?s Value Added Program. She said the micro loans FSA offers provide loan opportunities for smaller operations, like specialty crop producers.
?Micro loans are very attractive to those who are into a specific kind of specialty crop or might have various financial challenges. Maybe they are looking at a crop production enterprise at their local bank and may not be completely familiar with or what those operations will provide for them.?
She added value-added agriculture is marketing practice providing added value to the farm.
?That can be organic, specialty crops like your fruit and vegetable producers and how they market those also might be considered value-added rather than just conventional crops. If they bundled corn for instance and sold it to squirrel feeders, that is value-added agriculture,? Loux said.
The FSA micro loans provide a cap of up to $50,000. She explains what the loans can provide.
?These loans provide them with start-up capital. They can use them for operating loans or things like marketing and distribution expenses.? There are several opportunities available to them. ?They may do some minor farm improvement that maybe also provide a hoop house,? Loux said.
Learn more about the loans and find what other programs are available by contacting your local FSA office.
