The $1.2m (£655,000) production is being financed by BBC Alba, Serbheis Nam Meadhannan Gaidlhlig(GMS), Scottish Screen and the Glasgow Film Office.
Directed by Simon Miller is tells of a young boy who is sent to live with his grandfather after the death of his parents in a climbing accident.
The grandfather claims to be 800-years-old and his tall, timeless tales eventually beguile the boy and help him to come to terms with his loss.
The film stars Padruig Morrison as the boy and Gaelic novelist Aonghas Padraig Caimbeul as his grandfather and is an extension of the award-winning short film Foighidinn (The Crimson Snowdrop) which Young and Miller made in 2003.
It is also a return to the storytelling traditions and Scottish roots of Young's first feature Venus Peter which was selected for Cannes in 1989.
Young has been a resident of Skye since 1999 and claims that Seachd is aimed at the international arthouse audience who embraced Whale Rider and Atanajuarat, The Fast Runner.
The film completes its five week shoot on June 30 and Young Films is handling world sales.
Young has a number of projects in development including a reunion with Festival writer/director Annie Griffin on The Travel Writer and The Strangest Thing, a Capra-esque heartwarmer set in Victorian Scotland and written by John Milarky which is currently seeking a director.