Alabama Agricultural Development Authority


The AADA Commodity Barn Loan Program is a low-interest loan program for Alabama cattlemen to provide financial assistance for the construction of approved commodity storage barns for use on farms and ranches in Alabama. Access to a commodity barn enables the farmer to buy necessary commodities in bulk quantities and subsequently receive cost savings. Commodity barn plans must meet certain standard criteria with said plans required to be reviewed and approved by the oversight committee prior to start of construction. AADA funding can not exceed the commodity barns’ total construction material cost (to be verified by receipts.)

As a guideline, three loan categories have been established based on the size of the cattle operation:

      $7,500 for a one-bay barn

      $15,000 for a two-bay barn

      $22,500 for a three-bay barn


Loans are for a maximum of 3 years at a simple annual interest rate of 3 percent. A signed promissory note denoting annual payments will be required along with verifiable security that sufficiently collateralizes the loan. A $50 fee will be charged to cover administrative costs.

If you would like to apply for a loan under this program, complete the Loan Application and attach a $50 application fee payable to Alabama Agricultural Development Authority, and submit to


    Alabama Agricultural Development Authority     

    1445 Federal Drive  

    Montgomery, AL 36107

Click the link below to view and print a

Commodity Barn Loan Application