Friday, 02 08, 2013
FRANKFORT, Ky. (Feb. 8, 2013 ) -The Kentucky Agricultural Finance Corporation (KAFC), chaired by Agriculture Commissioner James R. Comer, today approved $1,299,494 in agricultural loans for projects in the Commonwealth during its regular monthly business meeting.
KAFC participates with lenders to provide financing to producers making capital expenditures for agricultural projects through the Agricultural Infrastructure Loan Program. Eligible projects include permanent farm structures with attached equipment that improves the profitability of farming operations. Three Agricultural Infrastructure loans were approved for a total of $250,000 and included recipients from Graves, Hancock and McLean counties.
The Beginning Farmer Loan Program is designed to assist individuals with some farming experience who desire to develop, expand or buy into a farming operation. Beginning farmers may qualify for financing to purchase livestock, equipment or agriculture facilities; to secure permanent working capital; for the purchase farm real estate; or to invest in a partnership or LLC. Beginning Farmer loans totaled $1,049,494 and included six recipients from Graves (3), Hickman (2) and LaRue counties.
Additionally, KAFC approved the guidelines for a new loan program - the New Agriculture Enterprise Loan Program (NAEL). The purpose of NAEL is to provide loans for Kentucky farming operations as they enter into a new agriculture enterprise to take advantage of market opportunities created by an agribusiness expansion. Initially, a total of $1 million will be available for low interest participation loans with a maximum loan of $250,000, not to exceed 50 percent of the project costs.
For more information on the programs offered by the KAFC, contact Bill McCloskey, director of financial services, at (502) 564-4627 or visit the KAFC Webpage at kafc.ky.gov.
Gov. Steve Beshear and the Kentucky Legislature continue their commitment to the agricultural diversification efforts being made across the Commonwealth. The Kentucky Agricultural Finance Corporation (KAFC) provides capital access for agricultural diversification and infrastructure projects. To date, KAFC has approved 421 projects and committed more than $53 million.