Producers are eligible to receive an advance for up to $1 million per production period, with the first $250,000 of their advance being interest-free. The advance is based on an advance rate determined by the Minister which cannot exceed 50 per cent of the average price that in the Minister’s opinion will be payable to producers of the agricultural product in that area. This limitation on the advance rate helps to absorb price fluctuations that may naturally occur in the market.