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New loans for perishable crop storage

New loans for perishable crop storage


By Scout Nelson

Agricultural producers of perishable commodities such as fruits, vegetables, and floriculture can now access funding for controlled atmosphere storage through the USDA’s Farm Storage Facility Loans (FSFL) program. This advanced storage technology regulates oxygen, carbon dioxide, and nitrogen levels to extend crop shelf life.

The FSFL program provides low-interest financing to build or upgrade storage facilities, purchase portable storage structures, and invest in equipment like monitoring systems for controlled atmosphere storage. These funds also support renovations to existing storage facilities, with loan terms ranging from three to five years for such upgrades.

Eligible equipment includes gas detection devices, humidity and temperature transmitters, and air quality sensors, which notify facility owners of potential atmospheric concerns. Loans up to $50,000 are secured by a promissory note, while higher amounts may require additional security.

Producers do not need to prove a lack of commercial credit to apply. The program supports a wide range of agricultural operations, including small and mid-sized businesses, new farmers, and underserved producers. It aims to foster growth in local food markets and non-traditional farming sectors.

USDA’s Farm Service Agency (FSA) oversees FSFL, offering resources for sustainable farming, disaster recovery, and agricultural conservation. For more details, visit your local USDA Service Center or explore the FSFL fact sheet online.

Under the Biden-Harris Administration, USDA is transforming the food system with resilient local production, climate-smart farming practices, and historic investments in rural infrastructure. These efforts aim to create fairer markets and equitable opportunities for all producers. For more information, visit usda.gov.

Photo Credit:pexels-karolina-grabowska

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