Apply for a cash advance under the Advance Payments Program

The federal Advance Payments Program (APP) has been expanded to accommodate a wider range of farming enterprises and producers can obtain up to $1 million per program year in advance, under the program.

In May 2023, the federal Minister of Agriculture and Agri-Food announced an increase to the interest-free portion of the APP to $350,000 for the 2023 program year. The eligible cash advance is based on up to 50% of the anticipated market value of eligible agricultural products on hand or to be produced. For agricultural products that are either in production or are non-storable or animals and animal products, additional security is required to qualify for the advance. This security includes one or more of the potential proceed from a relevant business risk management program, such as AgriInsurance, AgriStability, or another acceptable form of security.

Livestock that have been sent for slaughter, animals under supply management (such as dairy cows and poultry), and breeding animals that are not intended for market during the production period are not eligible under the program.

Advances are repaid as the agricultural products are sold, with up to 18 months to fully repay the advance for most commodities, and up to 24 months on eligible cattle and bison.

For more information, visit the APP website at agriculture.canada.ca/en/programs/advance-payments