South Carolina Farmer Recovers From Years Of Adverse Farming Weather With $1.7MM Loan
Fifth-generation Southeast farmer saves over $116K annually with AgAmerica’s debt consolidation loan.
The Carolinas have an incredible animal feed and soybean demand as the area is host to many of the nation’s largest protein producers, including Tyson, Perdue, and Cargill. Because the area does not produce enough grain to offset this demand, end users must often go to the Midwest to buy for their needs. The high freight cost to ship grains into the Carolinas from the Midwest creates a competitive advantage for local growers.
The Challenge
As with most South Carolina farms, our borrower was able to sell crops at a premium due to the area’s massive grain deficit levels. However, after several years of extreme weather conditions, this South Carolina farmer was facing strong local demand for soybeans, yet he could not deliver. Of the 400 acres of soybeans slated for planting, almost 200 were left unplanted when heavy rains and floodwaters over-saturated the soil. The operator recalls these years as the wettest he could remember in all his years of farming.
The Solution
When issues with crop insurance pay-outs arose, the borrower turned to AgAmerica for a debt consolidation package. A $1.7MM loan package helped the borrower save over $116K annually and he is now back on the road to financial recovery.