NSW Rural Assistance Authority – Seafood Innovation Fund Loan Scheme

This program aims to assist commercial fishers and aquaculture farmers to identify and address risks to their business, improve permanent assets and infrastructure, ensure long term productivity and sustainable use of the marine, estuarine and land-based environment.

The features of the scheme include:
- Amount: Loans of up to 100% of the net, GST exclusive cost of the works to a maximum of $500,000. The net cost is determined by deducting the amount of any other government grants relating to the proposed works.
- Interest: The rate will be that applying at the date on which the loan is approved and is fixed for the term of the loan. The rate is currently 2.5%.
- Term: Up to 20 years dependent upon the amount borrowed and applicant’s ability to repay. Works must be completed within 12 months from date of loan approval.
- Repayments: Monthly, half-yearly, quarterly or annual repayments of principle and interest.
- Security: Registered mortgage over land is preferred. NSW RAA will consider other security, including fishing shares, aquaculture lease and chattels, on a case-by-case basis.
- Costs: There are no establishment or account keeping fees, however, costs for registering security documents and Government Stamp Duty will be borne by the applicant.

Prior to submitting an application, applicants are advised to seek advice from their legal, business and financial advisers to determine their eligibility for and the terms of the financial assistance.

Eligible applicants must:
- Be a NSW:
a) Aquaculture permit holder
b) Commercial fishing business owner or fishing licence holder
c) Registered fish receiver
- Have a business that operates as a sole trader, partnership, trust or private company and trades NSW seafood products.
- Earn the majority of their gross income (at least 51%) from the seafood business/enterprise.
- Be classified as a 'new entrant', meaning that they have been operating their seafood business for between 12 months to three years and more than 50% of their gross income will be derived from the business within three years of the date of the application. The applications of new entrants will be considered on a case by case basis.
- Have gross non business assets that do not exceed $5 million.
- Provide a business plan.

Please refer to the Guidelines for the complete eligibility requirements.

Eligible activities must address the following key areas of investment:
- Preparedness: Adaptability to changing seasonal conditionals or climatic events of floods or droughts, to have programs or equipment to reduce risk to business/enterprises.
- Environment: Ensure that equipment that is used has a minimal impact on the environment, through the establishment and use of environmentally sustainable fishing and farming infrastructure, methodologies and equipment to minimise impact on the environment.
- Fishing and Aquaculture Farming Equipment and Assets: An increased focus on replacement of unsafe or inefficient assets, to ensure that equipment will provide the most efficient outcome to their business and to meet business best practice, legal requirements, and safety and environmental standards.
- Transport and Logistics: Ensuring that product reaches markets in optimum condition through holding tanks and refrigeration units, new transport systems, and new market software.

The following are ineligible for funding:
- All residential and commercial land, premises and buildings.
- Road vehicles not specifically fitted for the transport of seafood products to market.
- Use of own machinery or own labour.
- All business inputs (e.g. fuel, ice, bait).
-The purchase of aquaculture leases, fishing businesses, fishing shares, quota, freehold land or other financial assets.
- Retail businesses including restaurants, cafes, bait and tackle supplies.
- Businesses involved in the transport or sale of imported seafood products only.
- Marinas or other marine suppliers.
- Promotion or marketing activities.
- Feasibility studies, business plans or other similar works.
- Commonwealth commercial fishers.