The U.S. Department of Agriculture (USDA) announced it will be making USD 5 billion (EUR 4.5 billion) in loans available to expand and improve processing capacity for the nation’s seafood, meat, and poultry industries.
“From our crabbers in Alaska, to the lobstermen in Maine, to the great shrimpers in the Gulf of America, our nation is blessed with incredible men and women who work to bring this bounty to our plates. The Trump administration has recognized their incredible efforts and is working to provide all the necessary tools for them to succeed with our America First Seafood Strategy,” U.S. Secretary of Agriculture Brooke Rollins said in a release.
The funding will be made available through the Strengthening Processing for U.S. Ranchers (SPUR) Guaranteed Loan Program, which will provide a 90 percent loan guarantee to commercial lenders providing financing for expanding, improving, or diversifying processing capacity. Eligible borrowers will be able to receive up to USD 175 million (EUR 157 million) in loans with a two-year deferral of payments on principal and interest. The loans can be taken out from a variety of finance institutions, including federal- and state-chartered banks, savings and loan associations, farm credit banks with direct lending authority, and credit unions.
According to USDA, businesses, nonprofits, cooperatives, and Tribal, state, and local governments will be eligible to apply for loans under the SPUR Guaranteed Loan Program. Still, some of the biggest seafood companies may not be able to access the financing; companies with a market share equivalent to or larger than the company with the fourth-largest share of the market will be ineligible for loans.
In its announcement, USDA noted that the inclusion of seafood processing in the SPUR Guaranteed Loan Program is an example of how the department is integrating the seafood sector into its financial programs, which was a key goal in the establishment of the USDA Office of Seafood earlier this year.
“Today’s announcement expanding funding opportunities for seafood processing from USDA highlights our commitment to building out the resources needed for American seafood products to be readily available for consumers,” Rollins said. “We look forward to continuing to serve American fishermen through the USDA Office of Seafood we created earlier this year, building on President Trump’s America First vision.”
The SPUR Guaranteed Loan Program comes as the Trump administration pushes its new American First Seafood Strategy, introduced in October to boost the nation’s seafood, aquaculture, and commercial fishing policies. The strategy includes a new voluntary “U.S.-caught seafood” label, the launch of a nationwide “Eat American Seafood” campaign, and increased purchases of domestic seafood by government programs.
The strategy has been welcomed by the commercial fishing and seafood sectors, which have long argued for a bigger role for seafood within USDA.
“The Southeastern Fisheries Association (SFA) strongly supports President Trump and his administration’s efforts to restore American seafood competitiveness through the newly announced America First Seafood Strategy,” Southeastern Fisheries Association Executive Director Bob Zales said in a release. “Working alongside commercial seafood associations from across the country, SFA has been proud to play an important role in advocating for the establishment of the new USDA Office of Seafood. We look forward to continuing our work with Mike Illenberg, director of the Office of Seafood, and the administration to strengthen our domestic seafood industry, expand opportunities for American commercial fishermen and seafood businesses, and ensure that American seafood receives the recognition, support, and opportunities it has long deserved.”
