Canadian apple growers will be getting some government help to expand or improve their orchards.
Agriculture minister Lyle Vanclief announced March 13 that a new Farm Credit Corporation “apple grower loan” program will be started.
It will allow apple growers to borrow up to $22 for each new tree planted in a high-density orchard, which must have at least 300 trees per acre.
Repayment will not have to start for four years.
Vanclief said the repayment holiday is necessary because farmers pay to buy and plant new trees that do not produce a crop and income for several years.
It is designed to encourage farmers to move to high-density dwarf tree plantings “to produce higher quality apples at lower cost.”
The apple loan program is the second special FCC loan package designed for a particular sector. Last year, grape growers were offered the same type of delayed payback loan to allow them to upgrade or expand their vineyards.
