News in Brief June 2023

DEFRA increase payments for upland farmers

DEFRA has announced an increase in payment rates made to upland farmers under the new Environment Land Management scheme (ELM).

Up until now upland farmers have been paid at a lower rate than lowland farmers and the announcement means that payments will now be equal to both upland and lowland farmers in four options under the scheme.

The move sees payments on low inputs on grasslands in upland areas increase from £98/Ha to £151/Ha and payments for the creation of upland wood pasture increase from £333/Ha to £544/Ha.

 

UK-NZ Free Trade Deal welcomed by New Zealand meat bodies
With the UK-NZ free trade deal (FTA) coming into force on 31st May 2023 red meat bodies in New Zealand have spoken out on the opportunities now open to their farmers.

Beef and Lamb New Zealand have said It really opens up an opportunity for New Zealand’s beef exports in a traditional market, and creates new avenues for growth for the red meat sector and the FTA is good news for sheep and beef farmers, rural communities and the New Zealand economy.

The Alliance group representing 5000 farmers said the FTA is a significant step forward in opening the door for New Zealand farmers and provides an opportunity to grow, invest and diversify and that early figures show that UK imports from New Zealand are projected to grow by £1 billion.

Under the FTA the UK will remove tariffs on 97% of imported products and stage the removal of tariffs on beef and sheep meat imports, with no duties at all from 2038.

 

EU announce €430 million additional funding for agriculture

A new support package worth €330 million has been proposed for all 22 member states for farmers impacted by adverse climatic events, high input costs, and diverse market and trade related issues. The previously announced €100 million for farmers in Bulgaria, Hungary, Poland, Romania and Slovakia affected by imports from the Ukraine has also been approved.

The 22 member states may also complement the financial support with up to 200% national funding. Each member state will distribute the support directly by 31st December to farmers affected by the market disturbances of high input prices, falling product prices and recent climatic events.

The commission is also proposing higher advance payments of 70% of direct and 85% of rural development payments in mid-October as well as allowing member states to amend their strategic plans to redirect CAP funds towards investment to re-establish production potential due to adverse climatic events.

 

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