Loans and LDPS for wool producers | BrainerdDispatch.com | Brainerd, Minnesota

Loans and LDPS for wool producers

Posted: January 15, 2013 - 11:11am

Loans and LDPs for wool producers

The deadline period to request loans and loan deficiency payments (LDPs) on 2012 crop year wool and unshorn pelts is Jan. 31. LDPs are payments made to producers who, although eligible to obtain a loan, agree to forego the loan in return for a payment on the eligible wool or unshorn pelt. For the 2012 crop year the National LDP rate for ungraded wool was $0.00, so although a producer may request an LDP for wool, a zero payment would be approved. For loans, the loan rate for 2012 ungraded wool is $.40, and beneficial interest in the wool must be retained through the life of the loan.

Wool producers are now authorized to apply for loans or Loan Deficiency Payments (LDPs) for the upcoming 2013 crop year. Producers must complete page 1 of the CCC-633EZ form for the 2013 crop year and return it to our office prior to shearing or selling. The effective LDP rate for wool is currently $0.00, but the rate changes weekly so please contact our office to inquire about the rates when you lose beneficial interest in your wool. Producers must request benefits by January 31st, 2014. Applications must be faxed or mailed by this date.

Producers may contact FSA officials for detailed information. The Crow Wing-Cass USDA-FSA office is located at 7118 Clearwater Road in Baxter 218-829-5965, and the Aitkin-Itasca USDA-FSA office is located at 130 Southgate Drive in Aitkin 218-927-2912.