Hawaii Aquaculture Loans

The Hawaii Aquaculture Loans are part of the Hawaii Agricultural Loan Division.

The State of Hawaii, Department of Agriculture’s Agricultural Loan Division administers the Agricultural Loan Program and the Aquaculture Loan Program. The intent of the programs is to help promote agricultural and aquacultural development of the State by providing credit at reasonable rates and terms to qualifying individuals or entities. Through the establishment of a revolving loan fund, credit is made available by supplementing private lender sector loan funds or by providing direct funding.

Considered a “lender of last resort”, the program is not intended to compete with private sector lenders. Prospective applicants must inquire with and be denied credit from private sector lenders prior to filling an application. In addition, prospective applicants must fulfill applicable eligibility requirements. Applicants that are not able to obtain denials from the private lending sector may inquire with the private lender on the possibility of utilizing the insured/guaranty and/or participation loan facilities.

A qualified aquaculturist is:

• A person or association of persons, actively engaged in aquaculture farming, aquaculture produce processing, or aquacultural product development activities; and

• An adult resident of the State or a corporation or aquacultural cooperative licensed to do business in Hawaii or a partnership in which at least one partner is an adult resident of the State; and

• A sound credit risk with the ability to repay money borrowed; and

• Able to produce satisfactory credit references.

Aquaculture loans are for applicant who intends to devote full-time to aquaculture. A full-time aquaculturist is defined as a person who devotes most of their time to aquaculture or derives a major portion of their income from aquaculture farming operations.

Loans to Sole Proprietors, Partnerships, & Corporations:

• Farm Ownership & Improvement Loan: Purchase or improvement of aquaculture farmland.

• Operating Loan: Purchase of aquatic equipment, fishstock; payment of production and marketing expenses including materials, labor, & services; and living expenses.

Loans to Aquaculture Cooperatives:

• Facility Loan: Purchase or improve land, building and equipment.

• Operating Loan: Provide operating capital to finance inventories, warehouse, and shipping commodities, extension of consumer credit to justified members and other normal operating expenses.

Interest rates for aquaculture loans are fixed at 5% per annum.

• Micro Loan Application

• Personal Financial Statement

• Expense Projection Sheet

• Income Assumptions

• Monthly Cash Flow Projections

• Food Manufacturing Income Assumptions