May 31 is the final date for producers to request a loan or loan deficiency payment (LDP) on 2019 feed grain crops. Because May 31 falls on a non-workday, the deadline is June 1. The feed grain crops eligible for loan include corn, dry peas, grain sorghum, lentils, mustard seed, rice, safflower seed, chickpeas, soybeans and sunflower seed.
Because of the current market prices exceeding the 2019 loan rates at the time of this writing, LDPs on the above-mentioned feed grain crops would not apply. However, marketing assistance loans (MAL) could be obtained provided the producer still has ownership of the commodity.
With the downward trend of commodity prices in recent months, the MAL program may be a useful tool that producers should remember is available to them as a way to obtain operating capital without selling grain. The current interest rate for commodity loans made in May 2020 is 1.125 percent.
If producers would like to obtain a 2019 commodity loan or have questions about MALs, they should contact the Jewell County FSA Office at 785-378-3731.
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