Program aims to aid local ag community

More than $9.1 million in federal grant and loan monies have been earmarked for Tri-parish area farmers, ranchers and agribusinesses that suffered damages from hurricanes Gustav and Ike.

A meeting will be held next Wednesday, July 22, at the LSU Ag Center’s Raceland office (115 Texas St.) beginning at 6:30 p.m. to detail the program.

The state’s Farm and Agribusiness Recovery Grant and Loan Program was unveiled at last month’s annual Farm Bureau convention in New Orleans.

“Louisiana agricultural producers suffered tremendous losses following hurricanes Gustav and Ike and these programs will provide a much needed boost,” said Mike Strain, state Department of Agriculture and Forestry commissioner. “The LDAF has been working with the expert assistance of the LRA to develop these programs. Our goal is to get aid into the hands of Louisiana’s producers and agribusinesses as fast as possible.”

This marks the first time the federal Community Development Block Grant funds will be spent on agriculture programs, according to Paul Rainwater, executive director of the Louisiana Recovery Authority.

“We are thankful that the federal government understands the challenges farmers faced after being hit by four storms since 2005,” he said.

Applications for the program are being accepted through Aug. 21.

Grant and loan monies have been divided between the state’s eight disaster relief regions based on the agricultural losses reported after the 2008 storms.

Region 3, which includes Lafourche and Terrebonne as well as four other parishes, is slated to receive just over $3.1 million. Region 4, which is home to St. Mary and seven other parishes, has more than $5.9 million to disperse.

The relief has two components – the Farm Recovery Program and the Agribusiness Recovery Program.

Through the Farm Recovery Program, farmers and ranchers whose 2009 production was impacted by last year’s storms may be eligible for a 20 percent grant and 80 percent low-interest loan.

Low-interest loans for agribusinesses – aerial applicators, cotton gins and elevators, for example – may qualify for the Agribusiness Recovery program.

The loans – available in the amount of $100,000 or $250,000 – are repayable over a 5-year period. The interest is 1.5 percent.

Strain said $34.5 million is available to producers and $10 million to agribusinesses.

“Many farmers put every nickel they had or could borrow into their crops only to lose up to three-fourths of their investment,” he said. “We cannot allow our farmers to be faced with the choice of being forced to plant a significantly smaller crop or going out of business.”

To receive an application packet online, visit www.ldaf.la.gov. For more information on the program or next Wednesday’s informational meeting, Terrebonne and Lafourche applicants should call the Baton Rouge office at (225) 922-1277, while St. Mary farmers should contact the Opelousas office at (337) 948-0230.