Proposed legislation that would double the amount the United States government can loan to small manufacturers could benefit aquaculture and fishing firms, with a Congressional report confirming that the provision would apply to both sectors if passed.
The Made in America Manufacturing Finance Act would double the individual loan limit for the 7(a) and 504 small manufacturing loans offered by the Small Business Administration (SBA), increasing the cap from USD 5 million (EUR 4.3 million) to USD 10 million (EUR 8.6 million).
“The Made in America Manufacturing Finance Act provides small business owners the capital they need to expand, modernize, and compete. We must continue to support and empower the job creators who keep our communities thriving. Together, we will continue driving the America First agenda forward and creating an environment where the success of Main Street is a priority,” U.S. Representative Roger Williams (R-Texas) – chair of the House Small Business Committee – said in a release upon first introducing the bill earlier this year.
The SBA has previously provided support to commercial fisheries once the U.S. Department of Commerce has determined a fishery disaster took place, offering loans to help businesses survive the unexpected loss of revenue. As the Louisiana crawfish sector has struggled with drought-like conditions, the SBA has made available low-interest federal disaster loans to help them stay on their feet.
The House Small Business Committee report on the Made in America Manufacturing Finance Act confirms that “commercial fishery failures or fishery resource disasters (as determined by the Secretary of Commerce under the Fishery Resource Disasters Improvement Act)” and “ocean conditions resulting in the closure of customary fishing waters” would qualify as disasters when considering SBA loan eligibility. The report also clarifies that the SBA can provide disaster assistance loans to small aquaculture businesses.
“Every big business started as a small business that just needed a little help to grow,” U.S. Senator Chris Coons (D-Delaware) said in a statementb. “This bipartisan bill builds on years of work to give small manufacturers access to the funding they need to invest in their American dream.”
In recent years, lawmakers have introduced multiple bills and provisions to ensure aquaculture and seafood businesses are included in U.S. Department of Agriculture (USDA) programs and other federal offerings for agricultural businesses. The commercial seafood sector has pushed for the creation of a seafood industry liaison within the USDA, and lawmakers are currently considering bills that would do just that. Lawmakers are also considering the Supporting Equity for Aquaculture and Seafood (SEAS) Act, which would ensure aquaculture and seafood producers can participate in USDA grant programs, access financial assistance, and utilize federal crop insurance.
