"The CGC issued a formal notice on April 23 to inform producers that Monette Seeds Ltd. will no longer hold a primary elevator licence as of May 1, 2026."
"Monette entered creditor protection on April 21, after defaulting on a $30 million loan from Farm Credit Canada, with total debts amounting to approximately $904 million."
"According to the affidavit submitted by CEO Darrel Monette, the security required for the CGC licence came from a $6 million letter of credit issued by Scotiabank."
"The company intends to 'disclaim' existing contracts to purchase grain from other farms this year, as it navigates its financial difficulties."
Monette Farms' grain handling division, Monette Seeds Ltd., will no longer be licensed by the Canadian Grain Commission as of May 1, 2026. The company entered creditor protection on April 21 after defaulting on a $30 million loan. Monette owes approximately $904 million to secured creditors, including $830 million to a credit facility. The company also has debts to unsecured creditors, including $153 thousand owed to various entities. Monette Seeds plans to disclaim existing grain purchase contracts this year.
Read at Realagriculture
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