Andrew McClelland
The Advocate

La Financière Agricole du Québec is answering the call of thousands of agricultural producers to provide relief money as inflation and a wave of extreme weather events have left them struggling to make ends meet.

On Nov. 23, Quebec Minister of Agriculture André Lamontagne announced an increase of $10 million to La Financière’s annual budget. That brings the total amount of relief funds up to $25 million, generating liquidity of $167 million.

“This announcement demonstrates our determination to ensure the sustainability of our agricultural businesses,” Lamontagne said.

“The enhancement of the Programme Investissement Croissance Durable (Sustainable Growth Investment Program) and the modification of its parameters will allow companies to receive financial assistance based on their turnover,” Lamontagne said in a statement. “We will continue to work collaboratively with partners to finalize the analyses of the 2023 season.”

La Financière is also reviewing the terms of that program to provide support based upon the revenues of each farm business.

The 2023 season has been particularly hard on Quebec farmers, with heavy and prolonged rainy periods making harvesting nearly impossible in some regions.

In August, the Ministère de l’Agriculture, des Pêcheries et de l’Alimentation du Québec (MAPAQ) set up a special committee to suggest changes to existing programs to help producers meet the cost of production.

In early November, André Fortin, agriculture critic for the Quebec Liberal Party, told the National Assembly that La Financière’s programs no longer met the reality of the province’s agricultural economics.

“It is urgent to review our programs to offer support to those who feed Quebecers,” said Fortin. “We need solutions adapted to their new reality. Our food autonomy and security depend on it.”

Key changes to aid program

The key changes to the Sustainable Growth Investment Program are follows:

• Eligible businesses benefit from a 10-year working capital loan guarantee with no capital repayment for the first three years.
• The period for submitting an application for the “Working Fund” component is extended by one year (until March 31, 2025, or until the amounts are exhausted), whichever comes first. So apply early.
• The financial assistance granted can be no more than 15 per cent of the value of the working capital loan.
• As of Oct. 31, 2023, 426 businesses obtained a working capital loan from the program, for a total value of nearly $21 million.