Last week, Prime Minister Mark Carney announced the Government’s intention to temporarily increase the interest-free limit for 2025 and 2026 Advance Payments Program (APP) cash advances for canola. According to the announcement, farmers will have access to a doubling of the interest-free portion for canola advances. Presently, the interest-free limit for all commodities is $250,000 with a maximum eligible advance limit of $1 million.
The September 5th announcement stated that the program changes are in response to “ongoing trade uncertainty, especially affecting canola producers” and that the expanded support “will give canola producers greater financial flexibility to manage risk, invest in their operations and remain competitive in uncertain markets.”
Canadian Canola Growers Association (CCGA) began issuing 2025 cash advances in April and is awaiting further details from Agriculture and Agri-Food Canada as the changes progress through the regulatory process.
“When the program changes are approved, CCGA will take action to implement the higher interest-free benefit for canola quickly so that all farmers, including those who already have a 2025 cash advance, can benefit,” says Dave Gallant, CCGA’s Vice-President, Finance & APP Operations. “CCGA will notify existing customers about the program changes and any actions required on their part. We hope to make the process seamless for all farmers.”