Government announces enhancements to harvester enterprise loan program

The government has announced it is enhancing the Harvester Enterprise Loan Program to make the down payment loan and interest rebate more accessible to fish harvesters by offering them as stand-alone options.

As part of the program changes, loan guarantees are now an optional component of the program. Harvesters approved for a loan without a guarantee may still apply for the other two benefits of the program, the interest rebate and patient down payment loan. This change will help reduce the burden, complexity and processing times for harvesters and financial institutions. Loan guarantees of up to $4 million will continue to be available to financial institutions that require them.

To date, the program has proven to be a success with the Innovation and Business Investment Corporation (IBIC) having approved under the program:

• $3.78 million in loan guarantees

• $591,000 in down payment loans

• $335,735 in interest rebates

Harvesters interested in applying for the program should complete an application form available on the Harvester Enterprise Loan Program website.

The program represents an investment of up to $10 million towards the down payment loans and up to $5 million for the interest rebates. Approvals will be based on budget availability and applications will be reviewed on a first-come, first-served basis.

Loans are negotiated between the harvester and their financial institution, and must comply with certain conditions, such as a limit on the interest being charged to the harvester.

The Harvester Enterprise Loan Program is the latest initiative the Provincial Government has undertaken. Other initiatives include:

• Permitting outside buyers to apply for fish buyer licences for seafood products harvested in this province.

• Increasing processing capacity for the crab fishery based on an increased Total Allowable Catch for 2024.

• Establishing a 10-point plan to advance free enterprise in the fishing sector with strengthened controls over corporate concentration.