The expanding shutdowns - and slowdowns - of U.S. meatpacking plants is raising concerns in the nation’s capital and putting a new focus on the need for curbing the COVID-19 outbreaks that are forcing plants to suspend or at least reduce operations.
The Small Business Administration ran out of money Thursday for the highly popular forgivable loans that dairy operations and other farms and businesses that have been applying for in droves to pay workers amid the loss of sales during the COVID-19 crisis.
The top regulator for the nation’s Farm Credit banks says while agricultural loan quality has deteriorated somewhat, it's too early to know whether producers will need additional Market Facilitation Program payments for 2020.
The Trump administration’s trade assistance package and other government payments are keeping the farm economy afloat, while historically low interest rates are helping maintain agricultural land values, according to bankers and economists.
The Farm Credit Administration will issue guidance as soon as next week to system institutions on lending to producers who are clamoring to get financing for industrial hemp, but the commodity’s future remains clouded by regulatory hurdles.
“Some deterioration in credit quality” for borrowers in the agricultural sector is evident in a new set of financial indicators of the Farm Credit System posted last week by the system’s federal regulatory agency, the Farm Credit Administration.