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Scotland to retain its own red meat promotion body

28/06/2006

Scotland will retain its own red meat promotion body when a new structure for the UK agricultural and horticultural levy bodies is introduced in April 2008.

Decisions on the future of the levy boards follow a period of consultation after completion of a review of the levy boards by Rosemary Radcliffe in October 2005.

Rural Development Minister Ross Finnie said:

"I am pleased to announce a new structure for the agricultural and horticultural levy boards that will protect the interests of Scottish levy payers. Existing levy bodies will be abolished.

"Scottish stakeholders have made clear that a Great Britain approach will quite rightly be retained for the milk, potato and horticultural sectors, with a UK-wide approach for cereals. New sector-based companies in these areas - and in the English beef, lamb and pork sectors - will be close to levy payers and answerable to an overarching Non-Departmental Public Body. This body will ensure effective governance of the sector companies and will enhance efficiency through the provision of shared common services.

"Given the distinctiveness of the red meat sector in Scotland, I have decided to retain a separate red meat promotion body. This body will be wholly accountable to Scottish Ministers. Details of the new body have still to be formalised. We will be consulting with key stakeholders and an announcement will be made later in the summer."

The review of the agricultural and horticultural levy bodies was carried out in 2005 by Rosemary Radcliffe. The 5 levy boards covered by the review are the British Potato Council, the Horticultural Development Council, the Home Grown Cereals Authority, the Meat and Livestock Commission and the Milk Development Council. The review also examined the structure of Quality Meat Scotland (QMS). QMS receives the Scottish red meat industry levy and carries out the functions of the Meat and Livestock Commission in Scotland, reporting to Scottish Ministers.

QMS plays a crucial part in promoting and developing the red meat industry in Scotland. In recognition of the distinctiveness of the red meat sector in Scotland, a separate red meat promotion body will be retained and will be wholly accountable to Scottish Ministers.. .

In addition to seeking views on continuation of the statutory levies and the structure of the boards, views were sought on a number of other issues raised in the Radcliffe Report. Taking on board comments received, Ministers have agreed the following:

  • a common framework of activities should be developed by Levy Board UK, drawing on the work undertaken by SectorCos as part of the Fresh Start exercise
  • levy payers, in principle, will have the right to trigger a vote on abolition of a levy or sector company and potential levy payers will have the right to vote on any proposed new levy
  • processor and dealer levies will continue in those sectors where they currently apply (potatoes, cereal and meat) but this will be reviewed in five years time
  • general and promotional meat levies will be combined

Page updated: Wednesday, June 28, 2006