USDA is allocating at least $5 billion in loans through its new Strengthening Processing for U.S. Ranchers (SPUR) Guaranteed Loan Program.
The program provides a 90% loan guarantee to commercial lenders to support activities related to expanding, improving and diversifying the processing capacity for American meat, poultry and seafood. The maximum amount that a borrower may receive is $175 million, and loans under the program may allow for a two-year deferral of principal and interest payments.
The loan program is available for federal and state-chartered banks, savings and loan associations, farm credit banks with direct lending authority and credit unions.
“The launch of the SPUR Guaranteed Loan Program is another step USDA is taking to support small, independent, and regional meat and poultry processing plants and advance the Rancher First Initiative announced last month that puts American ranchers back at the center of our nation’s food supply,” USDA said.
