A group in Maine are developing a small farms and local food economy specialized credit union. Called the Maine Harvest Credit Project, the group is working toward a nonprofit, member-owned credit union that fills a critical financial services need: small, low interest loans for the acquisition of land and financing of specialized food processing and agricultural equipment for family farms and local food businesses.
The local food economy has been successful and growing in many communities across America, and what is needed now is infrastructure support so a new generation of farms can begin local food production. What young farmers need is the ability to finance an inexpensive used tractor, rather than being forced to buy something they can’t afford, because it comes with the option for financing.
The group calls the movement the “re-localization of the food economy,” and believes that resources that support the local food movement, family farms, and small food production will contribute significantly to the health of this sector. They are focused on being the first deposit-taking financial institution in the US that is working with food system re-localization. Once the difficult work of meeting regulatory requirements is completed, they hope to be a model for credit unions across the country that focus on providing financial services and small loans to family farms, the local food economy, and small scale food production. Small scale, local agriculture, and sustainably produced food may soon have a model for financial support and inclusion.
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