Bank of North Dakota Aiming to Help Farmers Hit by Low Crop Prices
Bank of North Dakota introduces a loan program to help farmers hit by low crop prices.
Wheat, soybeans and corn crops have seen falling prices since 2012.
Despite the good harvest season, farmers may still not make enough or any profit.
“Probably the prices aren’t quite where we had hoped for them to be at. Or at least they have not been for the last three four years,” says Glyndon farmer, Ryan Zimmerman.
“Right now, the commodity prices are all low. If farmers can save a little bit money on the drying cost and get things done in a timely fashion without a lot of hiccups that will save them a little money,” says NDSU Extension Agronomist, Dr. Hans Kandel.
Saving seems to be the one thing farmers have been doing for a while.
“Everything is tightening up on the financial side here. You’re finding anyway to cut in the field and you’re not buying that piece of equipment that you want. It’s a need or a really need before you buy that,” says Casselton farmer, Joe Morken.
The North Dakota Industrial Commission approved the Farm Financial Stability Loan Program on Thursday.
The $300 million loan program is to aid farmers who are struggling with low commodity prices and below average crop production.
“We thought it was time to sit down and pencil out a program that could be of assistance,” says CEO/ President Bank of North Dakota, Eric Hardmeyer.
Applications start December 1st.
This gives farmers just a few weeks to learn about the program and see if they qualify.
“I don’t know about it,” says Morken.
Borrowers must be a North Dakota resident whose principal occupation is farming.
They must also prove a shortage of cash flow in 2014 and 2015.
There must also be an operating line approved for the 2016 crop year.
“It meets our mission and we’re happy to play a part in assisting farmers with the issues that they’re given,” says Hardmeyer.
Farmers interested should visit with their local lender to apply.
You can read more about the program here.
