Following the German E.coli outbreak, the wholesale market for salad crops in this country was flooded with imported produce at rock-bottom prices, collapsing the markets and forcing growers to cut their prices and dump high-quality produce by the truckload. This cost the British horticulture industry millions of pounds.
Last week, the European Commission announced a €210m emergency compensation package that would be made available to member states. The package has now received ministerial approval, meaning that growers in the UK are able to claim for eligible crops taken off the market between 18-30 June.
Horticulture and potatoes board chairman Sarah Pettitt said: “While we’re extremely pleased to have secured this outcome for growers, the scheme itself isn’t as good as we had hoped for.
“Despite lobbying efforts by the NFU and other EU farming unions to extend the Commission’s proposals to compensate for losses on produce sold at low prices, this aspect wasn’t included. The fact that retrospective claims cannot be made on produce already dumped or destroyed is also very disappointing, given that losses incurred by British growers have already exceeded £3m.
“That said, while the scheme has significant faults, I would encourage all growers to apply for the fund if it makes economic sense for their business to do so. The scheme does at least provide a relatively simple opportunity for growers of eligible crops to withdraw those crops from the market over the next two weeks and be compensated for those losses. If growers were to ignore this package in the hope they may get something else better at a later date, they may end up getting nothing at all.
“We realise the strength of feeling among growers on the compensation scheme’s limitations and will continue to lobby at an EU level alongside other member states to get the terms of the compensation package extended. We’re meeting with representatives of other member states in Brussels on Wednesday as part of this process.”
Source: NFU
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