Farming isn’t just a job—it’s a livelihood and a cornerstone of Canada’s food supply.

Recognizing the unique challenges farmers face, Farm Credit Canada (FCC) has committed $60 million to Glengarry Farm Finance Corporation, aimed at providing farmers with the financial flexibility needed to weather temporary setbacks and keep their operations flourishing.

Glengarry Farm Finance is a specialized agricultural lender that provides flexible financing solutions to farmers across Western Canada and Ontario who may not qualify for traditional bank loans. The partnership with FCC—a Crown corporation and Canada’s leading agricultural lender—aims to bridge the gap for transitional farmers by offering them improved access to capital.

Tara Sterken, head of marketing and business development at Glengarry, told Canadian Mortgage Trends that this new funding will enable Glengarry to take on larger deals and offer improved pricing options better suited to farmers’ needs, including a more competitive “premium” alternative.

“What they’ve really done for us is they’ve given us effectively cheaper capital,” Sterken explained. “That takes us from that kind of true private lending space into a more alternative where we really are closer to that prime lending bucket.”

As a result, Glengarry can now offer rates roughly one to one-and-a-half percentage points lower than before, helping to close the gap between prime lending rates and private commercial lending, which typically hovers at around a 4.5 percentage-point spread.

For farmers, this funding provides the option to commit to slightly longer terms without facing prohibitive costs.

“Now it’s a little bit kinder, a little bit cheaper, and it gives them a bit of breathing room,” Sterken said.

Additionally, Sterken said they were limited to deals in the $5- to $7-million range, whereas this funding allows Glengarry to entertain even larger deals.

The importance of supporting Canada’s farming community

For Glengarry, this partnership isn’t just about lending, but about reinforcing the essential role farmers play in Canada.

“It’s about supporting the fifth- and sixth-generation farmers producing the food that feeds our families,” Sterken said. “I’m constantly reminded of how lucky we are in Canada to have such incredible agricultural diversity, and it’s a privilege to help keep that going.”

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Last modified: March 10, 2025