The U.S. Department of Agriculture’s Commodity Credit Corporation has announced interest rates for January 2012. The CCC borrowing rate-based charge is unchanged from last month at 0.125 percent. The rate for 1996 and subsequent crop year commodity and marketing assistance loans is also unchanged at 1.125 percent.
The interest rates for Farm Storage Facility Loans approved for January are as follows: for a seven-year loan term the January figure is 1.375 percent, down from 1.5 in December 2011; for loans with 10-year terms, the interest rate is 2.0 percent, down from 2.125 in December and; the interest rate for 12-year loan terms for January is 2.25, down from 2.375 percent in December 2011.
The interest rate for Sugar Storage Facility Loans for January is 2.375 percent, down from 2.625 percent in December 2011.
The maximum discount rate applicable for January 2012 for the Tobacco Transition Payment Program continues unchanged at 5 percent. This is based on the 3.25 percent prime rate plus 2 percent, rounded to the nearest whole number.
NAFB News Service