Soy Growers Farm Credit System Vital to Farmers Rural Business

first_imgThe American Soybean Association (ASA) expressed strong objections to the American Bankers Association’s goal of eliminating the Farm Credit System (FCS) in a letter sent last week.The letter, signed by 42 agricultural organizations, stressed the critical need of credit availability to farmers.“The FCS as well as rural and other commercial banks play vital roles in ensuring that farmers, ranchers and other rural Americans have access to constructive, competitive credit on an ongoing basis,” the letter stated. “The array of credit products offered by both Farm Credit and commercial banks – often in a collaborative, cooperative manner – ensures that agricultural producers and their industry sector partners have access to financial tools that are vital to their success and economic sustainability.”The letter suggested that rather than eliminating the FCS and/or commercial banks and other lending institutions it would make sense to find improved ways to work collaboratively with Farm Credit and other credit providers for the benefit of farmers, ranchers and rural communities.“The stakes are simply too high for rural America to have fewer financing options to meet the challenges of advancing rural economic growth.   We want you to know that your effort to reduce competition is not supported by those of us whose members live, work and form the economic foundation in rural areas,” the letter states. “We would appreciate the opportunity to work constructively with your organization and others, including the Farm Credit System, to improve and expand farmers’, ranchers’ and rural businesses’ access to competitive and stable credit offerings to meet the challenges rural America faces in our still-recovering economy.”Click here to read the entire letter.last_img read more