Agriculture Cash Flow Support Loan Scheme

The Agriculture Cash Flow Support Loan Scheme provided low-cost flexible working capital finance to help farmers deal with changes in the sterling exchange rate and lower commodity prices in 2016 and 2017. The scheme was developed in cooperation with the Strategic Banking Corporation of Ireland (SBCI).

Provisional drawdown data showed there were 4,246 applications totalling €144,903,656, with an average loan size of €34,127 and an average loan period of 41 months.

The loans were available to all livestock farmers, tillage farmers, horticulture producers - including mushroom growers - and others involved in primary agricultural production including poultry producers.

Applicants had to satisfy the requirements of the EU aid package. They had to be one of the following:

• participating in an agri-environment scheme as part of a Rural Development Programme
• a member of a Bord Bia Quality Assurance Scheme or currently a certified member of a Quality Assurance Scheme run by a co-operative, processor or producer representative body
• a member of a registered Farm Partnership
• completed or participating in the financial management elements of a Knowledge Transfer Programme or previous programmes
• have evidence of participation in financial training from Teagasc or another body relating to the eligible agricultural sectors

The loans offered had the following features:

• sums of up to €150,000
• term of up to 6 years
• loans unsecured
• interest only period of up to 3 years available at the start of the loan
• interest rate of 2.95% for the term of the loan

Loans could be used for:

• working capital requirements
• as a more sustainable alternative to short-term credit facilities
• as an alternative to merchant credit

This scheme is now closed to new entrants. For further information see the SBCI website.