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MFU Foundation Completes First MPILP Loan

ST. PAUL – Minnesota Farmers Union (MFU) Foundation completed its first Meat and Poultry Intermediary Lending Program (MPILP) loan last month. The MPILP loan went toMorgan’s Meat Marketof Waseca. Owners Dean and Barb Morgan will use the funds to finish their expansion for processing.

“We thank Farmers Union Foundation for the loan, which will assist us as we expand our production area, upgrade to more efficient equipment and develop a new product line where there is growing demand,” Dean Morgan said. “We hope to be done with construction by the first of July and producing 2,000 to 3,000 pounds of snack sticks a day by the end of summer.”

MFU Foundation has about $900,000 in revolving loan funds to distribute to support small and medium-sized meat and poultry processors through the MPILP. Five full applications and eight inquiries have been received.

“The MPILP program provides low-interest loans to help new and expanding meat processing businesses,” said MFU Special Projects Coordinator Dave Endicott. “The purpose of these loans is to expand the processing capacity within the state of Minnesota. MFU Foundation has dollars available to assist with meat processing projects in the state.”

The MPILP offers low-interest loans for the start-up, expansion and operation of slaughter and further processing of meat and poultry. Loans of up to $100,000 are available at a 4 percent fixed interest rate with a term of up to 10 years. Funds can be used to purchase land or equipment, cover start-up costs and make other business investments. Returned funds will be made available to new borrowers.

“Minnesota Farmers Union is proud to partner with small and mid-sized meat and poultry processors to improve their businesses,” said MFU President Gary Wertish, who is also president of MFU Foundation. “An independent, diverse meat processing industry is essential to a diverse, independent livestock production industry and a cornerstone of rural economic development. We thank USDA and the state legislature for investing in this important sector of our economy.”

MPILP is funded by a grant from United States Department of Agriculture Rural Development.

Find more information online at mfu.org/mfu-foundation-meat-processing/.

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