Fruit Fly Concessional Loan Scheme
Up to $4 million is available to offset the effects of the fruit fly event that occurred in Tasmania during 2018.
The Fruit Fly Concessional Loan Scheme will provide financial assistance to Tasmanian fruit growers that have been affected by the fruit fly event, as indicated by the Department of Primary Industries, Parks, Water and Environment. Assistance is being provided to assist eligible businesses to undertake the following activities that otherwise could not be funded under normal banking arrangements:
- operating costs necessary to restart, continue and redevelop operations whilst recovery occurs, and/or
- provision of short term working capital for the immediate season.
- Loans of up to $250 000 for eligible Tasmanian owned and operated farm businesses.
- Loan amounts will generally be no less than $30 000.
- Applicants are required to demonstrate a genuine financial need for any assistance.
- The maximum loan term will normally be up to three years.
- Variable concessional interest rates will apply, currently in the order of 3.40 per cent per annum, for a maximum period of three years.
- Interest only payments are available for the loan term not exceeding three years.
- Loans must be repaid in full or fully refinanced at the end of the agreed loan term.
- Applications will be assessed on the criteria contained within the guidelines.
To be eligible to apply applicants must:
- Be a Tasmanian owned and based primary production enterprise operating in a fruit fly control area growing fruit fly host produce at the time of the declaration of the event.
- Operate as a sole trader, trust, partnership or private company.
- Demonstrate a clear need for the loan, to the satisfaction of the Department of State Growth.
- Complete the loan application form, including the acknowledgement form from your bank.
- Include a brief summary, to the satisfaction of the department, of how your business will recover from fruit fly.
- Demonstrate the financial viability of your business before the fruit fly event.
- Demonstrate that your business will be sustainable within the agreed loan period.
- Be registered for tax purposes in Australia as a Primary Industry with an Australian Business Number (ABN) and be registered for GST.
Applications for the Fruit Fly Concessional Loan Scheme will open on 1 October 2018 and will remain open until 30 June 2019 or until the scheme is fully committed.
How to apply
Those wishing to apply should first speak to an Agribusiness Finance Manager by calling Business Tasmania on 1800 440 026.
An application form can be provided once eligibility has been confirmed.
Eligible applicants should lodge their completed application form including the required documentation to:
Rural Finance Manager
Department of State Growth
GPO Box 536
Hobart TAS 7001