It’s been an “exceptionally difficult year” for Utah farmers and ranchers, and the Utah Department of Agriculture and Food (UDAF) is taking an unprecedented step to provide direct financial relief to agricultural producers with active UDAF loans.
Beginning Nov. 1, UDAF will waive interest on all existing UDAF loans for one year. Borrowers will also have the option to defer loan payments for up to 12 months, giving producers additional flexibility as they recover from the challenges of the 2026 production year.
“Utah’s farmers and ranchers have faced challenge after challenge this year, and we want them to know that we are in their corner,” said UDAF Commissioner Kelly Pehrson. “We know producers are hurting, and we want to help. UDAF’s job is to make agriculture work in Utah, and right now that means doing everything we reasonably can to give producers some breathing room and help keep their operations moving forward.”
The temporary measures were approved unanimously by the Utah Conservation Commission on Aug. 24 and by the Utah Agricultural Advisory Board on Sept. 9.
Gov. Spencer Cox has encouraged the relief measures as an investment in the farmers and ranchers who feed Utah and sustain rural communities across the state.
“By providing immediate financial relief during an exceptionally difficult year, state leaders are sending a clear message to Utah producers: We are committed to helping you weather today’s challenges and continue operating for years to come,” UDAF said in a release.
UDAF has actively tried to provide support for producers through a historically challenging year marked by drought, wildfire, animal disease and other pressures on Utah agriculture. Throughout the year, the department has worked to connect producers with disaster assistance, technical support, emergency loan resources and other tools to help agricultural operations remain viable.
“Utah’s farmers and ranchers are being hit from every direction this year, and for some, the question is whether they can keep their operations going,” said Sierra Nelson, executive director of the Utah Wool Growers Association and an Agricultural Advisory Board member. “We applaud UDAF and Gov. Cox for recognizing the urgency of this moment and taking meaningful action. This relief will provide a much-needed lifeline, but just as importantly, it sends a message to producers that they are not facing these challenges alone — that they have partners who understand what they’re going through and are willing to stand with them and advocate for them.”
The no-interest provision will apply automatically to every active UDAF loan from Nov. 1 through Oct. 31, 2027. No action is required from borrowers to receive the interest reduction. On Nov. 1, 2027, rates will return to those established in each borrower’s promissory note.
Borrowers who need additional relief may also apply to defer payments for up to 12 months. The option is available across monthly, quarterly, semiannual and annual payment schedules. Borrowers who have already made their 2026 payment may elect to defer their 2027 payment instead.
Borrowers who wish to defer payments must submit the official online form by Oct. 31. The UDFA loan staff will review requests and provide an electronic loan modification agreement for approved deferrals.
More information and the payment deferral form are available at UDAF’s webpage, ag.utah.gov.
