Crop Producers Granted More Time to Repay Cash Advances

Ottawa, Ontario – Agriculture and Agri-Food Canada

ID-100136335Western grains and oilseeds producers who have been unable to market their crops due to rail transportation challenges and flooding have been granted more time to repay their 2013 cash advances under the Advance Payments Program (APP). Agriculture Minister Gerry Ritz today announced a stay of default on the repayment of advances for producers who received an advance through the Manitoba Corn Growers Association (MCGA) on their 2013 crops.

The stay of default extends the 2013 repayment deadline by six months to March 31, 2015. Affected producers will have the option to repay their APP advances in cash without penalty. Technical changes are also being implemented to make it easier for all producers to repay their advances by allowing them until the end of the production period to provide proof of sale on any commodity covered by APP.

Producers in Manitoba, Saskatchewan, Alberta and British Columbia who received a 2013 APP advance on their crops through the MCGA are eligible for the six-month stay of default and are encouraged to contact the MCGA for more details.

Quick Facts

  • Last year’s Western Canadian crop, at 76 million tonnes, was 50 per cent higher than average, putting significant pressure on Western Canada’s grain handling and transportation system. Grains and oilseeds producers were further hampered by a shortage of trucks and limited access to roads and highways due to flooding across parts of Saskatchewan and Manitoba.
  • The APP is a financial loan guarantee program that provides producers easier access to credit through cash advances. Under the APP, producers can receive cash advances of up to $400,000 on the value of their agricultural product, of which the first $100,000 in each crop year is interest free. The deadline to repay the 2013 APP advances is September 30, 2014.
  • The MCGA administers advances for a number of crops in Western Canada including corn, alfalfa seed, Kentucky Bluegrass, annual and perennial rye grass, all pulse crops in Manitoba on behalf of the Manitoba Pulse Growers Association, and all sunflowers in Western Canada on behalf of the National Sunflower Association of Canada.
  • On July 10, 2014, a stay of default with the same terms was announced for Western crop producers who received 2013 APP advances from the Canadian Canola Growers Association.


“Our government took immediate action to get grain and other commodities moving to ensure Canada’s economy continues to grow. All Western grains and oilseeds producers that were impacted by rail transportation delays have now been granted the extra time they need to move their 2013 crops to market in order to meet their financial obligations.”

Agriculture Minister Gerry Ritz

“The Manitoba Corn Growers Association is very pleased with the granting of the stay of default.  Due to transportation issues and flooding in some areas of the province, many producers have been unable to move their 2013 crop. This will be extremely well received as it will take the pressure off and bring much needed relief to those producers.”

Myron Krahn, President of the Manitoba Corn Growers Association

Additional links


Jeff English Director of Communications Office of the Honourable Gerry Ritz 613-773-1059

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