Saskatchewan’s first lamb co-operative is expected to boost the sheep population in the province.
Set up by the Saskatchewan Sheep Development Board and the province, the Saskatchewan First Lamb Co-operative Ltd. will allow farmers to buy ewes, lambs and feeder lambs with government-guaranteed loans.
Farmers can arrange the four-year, one percent above prime interest rate loans through their financial institutions. Producers will be able to borrow between $5,000 and $25,000. To be eligible for the loans, producers must join the co-op, which costs $100, and pay a loan deposit of five percent for feeder lambs and 10 percent for breeder ewes.
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As well, an initial $50 farm assessment is required and producers must pay for farm inspections by one of eight provincial supervisors. Annual payments of one quarter of the principal and accrued interest apply.
Producers must be able to show they can provide care and feeding for the animals they intend to purchase and the sheep must be less than four years old and meet the co-op’s standards.
“It operates the same as a cattle co-op,” said Gord Schrader, of the sheep development board.
“Except we didn’t have enough numbers to break the province down into territories like we have for cattle. Hopefully when we have high enough numbers we will be able to do that.”
Al Wood, a Saskatoon-area sheep producer, said that while he isn’t immediately planning to take advantage of the new co-op he thinks it may be useful for breeders who are starting out and want to expand their flocks.
“There is always the problem of getting your facilities in place and having a good handling system and also needing to increase the size of your herd,” Wood said.
“They both cost money and this can be a real challenge to accomplish both at the same time. This might be a way for those producers to do both.”
Provincial officials hope the co-op will help the industry, which in turn may lead to new slaughter and marketing opportunities in Saskatchewan.
Currently, sheep must be shipped east or west to federally inspected slaughter facilities in other provinces which raises costs and limits profitability for growers.
For more information, contact the Saskatchewan Sheep Development Board at 306-933-5200.
