Current commodity prices and the tough farm economy are causing farmers to seek additional funds to operate their businesses. Last week USDA approved an additional $185 million be granted to the Farm Service Agency to fund operating loans. Operating loans through FSA are in high demand because of the current farm economy. The new funds come ahead of the turn of the agency’s fiscal year October 1.
More than 1,900 farmers who already had approval of their loans will receive the new money. While that will help clear out the back log, it’s only 30% of the farmers waiting in the wings.