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Advance Payments Program - APP

Author: OMAFRA Staff
Creation Date: Not Available
Last Reviewed: 05 May 2004

Agriculture and Agri-Food Canada - AAFC

Summary

Advance Payments Program (APP) provides cash advances with an interest-free feature on the first $50,000 to eligible producers to store eligible crops after harvest allowing them to market the crops later in the season when the market conditions may result in better prices and thereby encouraging the orderly marketing of the crop.

Eligibility Criteria

All producers of field crops grown in Canada which are storable in their natural state, maple syrup and honey.

Description

Program Benefits

  • Provides cash flow after harvest to help producers meet their short-term financial commitments.
  • Provides producers with the flexibility to store eligible crop immediately after harvest, thus encouraging orderly marketing of the crop.
  • Improves the producers' farm income by allowing them to market their crop over an extended season when the marketing conditions are better.

How does it work?

The Minister of Agriculture and Agri-Food Canada guarantees advances through eligible administrators (producer organizations) who administer the program on behalf of their members. The overall maximum advance guarantee per producer or related producers (partnerships, corporations and cooperatives) is determined by the Minister with an overall limit of $250 000 per producer for crops. The advance guarantee rate cannot exceed 50 percent of the expected average farm gate price for the crop year.

For each producer, Agriculture and Agri-Food Canada pays the interest on the first $50,000 of advances. Producers repay their advance as the crop is sold throughout the year. The advance must be repaid within 12 months.

Information

This program is not new. It has been available for several years under the Prairie Grain Advance Payments Act (PGAPA) which covered wheat and barley in the designated areas of the Canadian Wheat Board and the Advance Payments for Crops Act which covered all other crops produced across the country.

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Application forms are available from licensed grain dealers and from the following organizations that administer the APP program.

Agricultural Commodity Corporation
90 Woodlawn Road West, Guelph, ON, N1H 1B2
Brian Hughes / Marilyn Webb
email: agcorp@agcommcorp.org
(519) 766-0544
(888) 278-8807

Ontario Corn Producers Association
90 Woodlawn Road West, Guelph, ON, N1H 1B2
Don LeDrew
email: ontcorn@ontariocorn.org
(519) 837-1660

Ontario Soybean Growers Marketing Board
P.O.1199, 180 Riverview Dr. , Chatham, ON,
N7M 5L8
Karen Sillett Andari
email: onsoy@soybean.on.ca
(519) 352-7730

Blue Water Storage Ltd.
R.R. #1, Clarksburg, ON, N0H 1J0
Terry Carscadden
(519) 599-5908

Fresh Potato Growers of Ontario
570 Brant Street, Burlington ON, L7R 2G8
Don Brubacher
Violet Evans
(905) 637-5609

Georgian Bay Peeler Group Ltd.
R.R. #2, Clarksburg, ON, N0H 1J0
Robert Taylor
(519) 599-5841

Apple Valley Juice Corporation
P.O. Box 188, Clarksburg, ON, N0H 1J0
Linda Denbok
(519) 599-6662

Ontario Beekeepers
General Delivery,
Bayfield, ON, N0M 1G0
Patricia A. Westlake
email: ontbee@tcc.on.ca
(519) 565-2622

Ontario Black Tobacco Growers Association
P.O. Box 169, Cedar Springs, ON, N0P 1E0
Chris Stewart / Trudy Richards
(519) 679-0999
(519) 676-8294

Ontario Flue-Cured Tobacco Growers Marketing
Board P.O. Box 70, Tillsonburg, ON, N4G 4H4
Ron Moreland
Vicky Malcolm
(519) 842-3661

Prince Edward County Fruit Growers
Co-operative Ltd.
P.O.Box 480, Picton, Ontario, K0K 2T0
Ted Wallwork
(613) 476-5895

Temiskaming Grain Growers Association
RR #2, Thornloe, ON, P0J 1S0
Janet Miller
(705) 647-6639

Related Links

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For more information:
Toll Free: 1-877-424-1300
Local: (519) 826-4047
E-mail: ag.info.omafra@ontario.ca