ISSUE 2
MAY 1996

Financing program helps farmers invest in ag co-ops
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Prairie Grains is the
official publication of
the Minnesota
Association of
Wheat Growers,
North Dakota Grain Growers Association,
South Dakota Wheat,
Inc., and the
Minnesota Barley
Growers Association.


 Farm Credit Services in North Dakota and western Minnesota has developed a stock financing program for farmers who want to invest in agricultural co-ops. The financing option can be used for stock in any cooperative venture designed to make or purchase agricultural inputs, or to process and market farm commodities.

FCS is offering stock loans which extend over a period of 7 to 10 years. On stock purchases where the anticipated return on investment will be delayed, the program provides for interest-only payments the first two years, then principal and interest payments for five to eight years.

"Value-added agriculture offers the potential of increased profitability for our region's ag producers," says Jeremy Oliver, senior vice president of producer services for FCS of west central Minnesota, based in Moorhead. "Because of that potential, FCS has developed this program to help assure the availability of capital for deserving ventures."

Interest rates will vary among the FCS associations involved, but all locations offer fixed and variable-rate options, and there are no specific loan size limits. For more information, or to apply for a co-op stock loan, contact your local FCS office or call 1-800-444-FARM.

Copyright Prairie
Grains Magazine
May 1996