Levy redistribution was a major topic of concern raised by Scotland’s red meat industry during a discussion on the UK Government’s Agriculture Bill.
Quality Meat Scotland was invited to share evidence as part of the House of Commons Public Bill Committee meeting scrutinising the draft legislation on Thursday (October 25).
Topics brought up included a future UK geographical indications scheme, levy redistribution, and WTO agreements covering Scottish farm support schemes.
Lost levies
During the meeting, QMS chief executive Alan Clarke emphasized the need to make progress on each of these issues and called for the committee to ensure a long-term solution to the problem of lost levy is included in its amendments to the bill.
“The Scottish industry continues to miss out on around £2 million of levy per year from animals born and reared in Scotland but slaughtered south of the border, with Scottish producer levy of around £1.5 million per year being trapped in England,” he said.
“Although the interim solution, whereby £2 million of red meat levies has been ring-fenced for collaborative projects across Scotland, England and Wales, is working well, this does not reflect the amount of money the Scottish industry is losing south of the border.
The £667,000 share Scotland benefits from is only 34% of the total levy lost on average, per year, over the past five years, and 44% of the lost producer levy over this period.
“It is therefore imperative that progress is made on this inequity to allow the industry to benefit from this levy.
“This would make a substantial difference to the activity QMS undertakes to promote and protect the Scottish red meat industry and further market the Scotch Beef PGI, Scotch Lamb PGI and Specially Selected Pork brands.”
Recognition of PGI status
Clarke also stressed to the committee that a “seamless” mutual recognition of Geographical Indication schemes between other countries, without the need to re-apply, is essential.
“There is a risk that the EU could require UK GIs – including Scotch Beef and Scotch Lamb – to reapply for protection in the EU post-Brexit if there is no deal and this process could prove lengthy.
“A further issue for PGI is that the change of logo post-Brexit will require a change of label and retail pack design. This will add cost to the processing and retailing sector, potentially causing confusion amongst consumers.”
Other witnesses who gave oral evidence at to the committee along with Clarke included Jonnie Hall, director of policy, NFU Scotland; Ivor Ferguson, Ulster Farmers’ Union (UFU) president; Wesley Aston, UFU chief executive; and George Burgess, deputy director, Trade Policy, Food and Drink at the Scottish Government.
