Guarantee Increase Announcement

Increasing access to low-cost loans for livestock producers

August 27, 2025 

Alberta’s government is increasing the lending limit on the Feeder Associations Loan Guarantee Program to grow and strengthen the rural economy.

Alberta is world-renowned for its top-quality beef production, a reputation owed in part to the hard work and dedication of feeder associations, who help livestock producers get financing to buy animals and grow their herds. As demand for Alberta beef continues to grow internationally, leading to higher prices, locally owned feeder associations are turning to the Feeder Associations Loan Guarantee Program (FALGP) for low-interest financing backed by a government guarantee.

The program has been so successful at helping livestock producers grow their businesses it has reached its previous limit of $150 million. To ensure it’s able to continue supporting producers, Alberta’s government is increasing the program’s overall limit to $225 million.

“Alberta is a beef province, and livestock is a huge part of our agricultural industry. Our cattle and sheep producers put food on tables in our province and around the world. Increasing the limit on Alberta’s loan guarantee program will ensure thousands of producers across the province have access to the capital they need to keep producing Alberta’s world-renowned beef.”

RJ Sigurdson, Minister of Agriculture and Irrigation

Meeting producers’ needs

FALGP helps local, producer-run cooperatives get competitive financing to ensure they can continue being a player in the global market. As beef prices continue to increase, the program will ensure producers have access to the capital needed to grow and diversify their operations.

Since its establishment in 1936, the program has provided more than $12 billion in loans.

“This increase in funding will see our 45 feeder associations across the province have access to funding that is critically needed to support Alberta’s livestock industry. Without this kind of support, our industry would be facing a dire shortfall in available lending at the local feeder associations across the province. The rapid escalation in the cost of livestock simply makes it unfeasible to operate at previous levels and the last thing we need is to see any pressure on overall beef numbers in the province.”

George L’Heureux, chair, Feeder Associations of Alberta

“With cattle prices as high as they are right now, an increase to the program is critical. Getting this increase will be absolutely huge. Access to capital is incredibly important and helps producers, like myself, to grow and thrive. The program was a huge part of me coming back to the farm that my family started and will be instrumental in keeping it going.”

Dustin Lamb, producer

Quick facts

  • Since 1936, FALGP has provided farmers with capital to feed livestock via low-interest, government-backed financing.
  • The program typically finances 17 to 24 per cent of the calf crop each year, providing a significant portion of the industry’s lending requirement.

Related information

 

Media inquiries

Darby Crouch

587-335-6934
Press Secretary, Agriculture and Irrigation