This item was published during the term of a previous administration that ended in April 2007

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Post-CAP farmers encouraged to innovate
09/11/2004
Arable farmers should be innovative in identifying new
opportunities for their businesses, the annual Scottish
Crops Conference was told today.
Rural Development Minister Ross Finnie
highlighted non-food crops such as those being developed to
provide materials for the health industry as a source
of new opportunities for farmers in the post-CAP reform
era.
Mr Finnie said :
"Scottish Ministers are committed to building a
profitable, successful farming industry in Scotland.
"We are on the brink of major change. The Single Farm
Payment Scheme gives all farmers the opportunity to
restructure their businesses to make them more sustainable
in the longer term.
"Part of this restructuring for our arable farmers and
businesses could include the production of novel crops.
Future possibilities include biofuel, biodegradable
packaging and turning cellulose into energy.
"The Executive is playing its part in identifying new
crop varieties and new uses for established crops. As well
as biomass crops, we are investigating whether crop
products can provide raw materials for the healthcare
industry.
"This offers real opportunities for the Scottish farming
industry and can play a part in helping farm businesses
improve their competitiveness, maximise their returns and
produce for the market."
Mr Finnie also announced details of how the Executive
would ensure that farmers meet their obligations to
maintain land in good environmental and agricultural
condition.
SEERAD, working with Scottish Natural Heritage and the
Scottish Environmental Protection Agency where appropriate,
will have overall responsibility for ensuring that cross
compliance inspections are carried out according to the
Regulations.
Under CAP Reform there will no longer be a requirement
to produce cereals or oilseed crops to receive subsidy and
producers can grow for the market. It will be entirely up
to producers what to grow according to the interests of the
business.
The new Single Farm Payment Scheme which will come into
operation from January 1, 2005, replacing seven main direct
subsidy schemes, including the Arable Area Payment
Scheme.
Arable Area Payment Scheme 2004 claims will start to be
paid from 16 November, the first day of the payment
window.
It is expected to pay around £109 million on that day
and the bulk of claims within the following two weeks with
remaining claims paid by the closure of the payment window
on January 31, 2005.
SEERAD funds a programme of plant and crops science
research which amounts to £10 million per year.
This aims to help arable farmers in Scotland understand
factors which limit crop production in Scotland.
It also explores new opportunities with non-food crops
such as the potential of using Scottish crops to produce
energy (bio-mass crops) and investigates whether crop
products can provide raw materials for the healthcare
industry.