Financing bolsters beef, forage, poultry, and grain farmers across the Commonwealth

FRANKFORT (June 14, 2024) - The Kentucky Agricultural Finance Corp. (KAFC) approved $3,621,701 for 22 agricultural loans for projects across the Commonwealth at its monthly board meeting.

Agricultural Infrastructure Loan Program (AILP)
Three Agricultural Infrastructure loans totaling $614,183 were approved. Loan recipients were in Breckinridge ($239,183), Metcalfe ($250,000), and Shelby ($125,000) counties. KAFC participates with lenders to provide financing to producers making capital expenditures for agricultural projects through the AILP. Eligible projects include permanent farm structures with attached equipment that improves the profitability of farming operations. Producers may be eligible for up to $150,000 not to exceed 50 percent of the project.

Agricultural Processing Loan Program (APLP)
An Agricultural Processing loan totaling $170,000 was approved in Todd County. APLP is designed to provide loan opportunities to companies and individuals in Kentucky interested in adding value to Kentucky-grown agricultural commodities through further processing. Agricultural processors may qualify for financing for acquisition of equipment, construction of new facilities, renovation/expansion of existing facilities and permanent working capital up to 50 percent of the project cost.

Beginning Farmer Loan Program (BFLP)
Eighteen Beginning Farmer loans totaling up to $2,837,518 were approved. Loan recipients were in Bourbon ($237,500), Clinton ($121,225 and $108,750), Daviess ($172,500), Edmonson ($86,156), Fayette ($250,000), Franklin ($55,000, $55,000, and $250,000), Marion ($139,037), Meade ($150,000), Mercer ($197,125), Montgomery ($81,225), Nelson ($160,000), Ohio ($223,750), Scott ($90,250, Shelby ($210,000), and Taylor ($250,000) counties. The BFLP is designed to assist individuals with some farming experience who desire to develop, expand, or buy into a farming operation. Beginning farmers may qualify for financing to purchase livestock, equipment, or agriculture facilities; to secure permanent working capital; for the purchase of farm real estate; or to invest in a partnership or LLC.

For more information on the programs offered by the KAFC, contact Bill McCloskey at Kentucky Office of Agricultural Policy at (502) 382-6093 or email kafc@ky.gov.

The Kentucky Office of Agricultural Policy (KOAP), a division within the Kentucky Department of Agriculture, provides staff support to the Kentucky Agricultural Finance Corporation (KAFC) and the Kentucky Agricultural Development Fund (KADF). The KADF is administered by the Kentucky Agricultural Development Board. KOAP ensures Kentucky is being good stewards of dollars from the 1998 Tobacco Settlement Agreement by overseeing the boards’ investments into diversifying and supporting Kentucky agriculture.