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Foot and Mouth impact case studies

06/08/2002

Case studies into the impact of last year's Foot and Mouth disease outbreak on key sectors of the economy and rural communities in Scotland, were published today.

The case studies - published by the Impact Assessment Group - covered the tourism, transport and agri-food sectors. There were also studies in four rural communities across Scotland: Kelso, Castle Douglas, Isle of Skye and the Black Isle.

The report, which builds upon the survey work that had previously been commissioned by the group, found that while some businesses were impacted in the immediate aftermath of the outbreak, in the longer term, the majority of businesses are likely to experience minimal or no impact.

Some of the key findings of all the studies are:

  • There is no evidence of FMD having a significant effect on reported unemployment, with levels in 2001 being consistently below 2000. However, it is acknowledged that there was a short-term fall in the level of casual/seasonal labour employed over the summer, often in response to the fall in tourism numbers.
  • Businesses directly associated with Agriculture felt the most severe initial impact and are most likely to see longer term impacts. Auction Marts, Abattoirs and Livestock Hauliers all faced the dual problems of declining incomes and rising costs as a result of the additional regulations in each sector.
  • FMD was only one factor affecting the tourism sector in 2001. Whilst there was undoubtedly a fall in tourism numbers, other key factors such as the strength of Sterling and the poor weather make it very difficult to isolate the impacts of FMD. In terms of timing, the largest declines were seen during the peak months of the crisis. During July and August, the reduction was not as significant - implying that the industry was beginning to recover.
  • Overall the businesses consulted had seen FMD as a blip and were optimistic about the future. In the significant majority of cases where there had been a negative impact or pessimistic outlook, FMD was seen as an additional or a compounding problem rather the sole cause of a difficult situation.

The Case Studies were commissioned by the Impact Assessment Group which the Minister for Environment and Rural Affairs set up in response to the outbreak of Foot and Mouth Disease to assess the social and economic impacts of the disease.

The IAG commissioned independent consultants to perform Case Studies on representative communities and key sectors. Castle Douglas, Kelso, Skye and the Black Isle were chosen as typical communities from both accessible and remote parts of rural Scotland. Transport, Tourism and the Agri-Food sector were also studied as they had been identified as having been most significantly affected by the outbreak in previous assessment work.

The Case Studies are qualitative and not intended to provide quantified impacts of the disease. Quantitative results will be produced by the ex-post assessment, which is currently under consideration and will publish toward the end of the year.

The full Case Studies are available on the Scottish Executive website at http://www.scotland.gov.uk/agri/ Due to the diversity within the results, there is no summary of the sectoral report. The area-based studies do contain a short executive summary although care should be taken not to interpret the results based upon this summary as it disguises large differences in impacts across areas.

Page updated: Thursday, July 22, 2004