WAFarmers will unveil the true extent of financial pressure facing the State’s farmers by constructing a profile of interest rates being applied to the borrowings of farm enterprises.
Amidst anecdotal evidence suggesting severe financial stress affects many in the agriculture industry, the profile will determine the true extent to which interest rates on farm borrowings are impacting on farm businesses.
WAFarmers President Dale Park said there were concerns excessively high interest rates were being applied to farm borrowings, resulting in severe financial stress.
“It appears some farm enterprises are being affected by discriminatory lending practices where excessive risk premiums and disproportionately high interest rates are charged,” Mr Park said.
“By surveying the industry to discover what range of rates is applied, and how those rates are distributed geographically, we can build an evidence-based financial profile which can guide us in the action we take to improve the situation.”
To contribute to the survey, call WAFarmers head office on (08) 9486 2100.