The potato sector is to benefit from the delivery of seven industry projects funded by residual levy reserves, after a grant agreement was signed between the Agriculture and Horticulture Development Board (AHDB) and GB Potatoes.
The funding will be transferred from the £1.8 million worth of reserves held by AHDB since the wind down of levy payer activities - £400k of which will be set aside to cover any potential residual liabilities in the future.
The grant will be tapered over three to five years, reducing each year as GB Potatoes increases its flow of voluntary industry funding.
£1,371,880 will be invested in the first three years, while an additional £426,238 will be spent in the latter two years, depending on a successful review and the availability of sufficient potato funds from funds set aside from residual liabilities.
The recommendation, which was made by AHDB’s board earlier this year following the wind down of levy payer activities within the sector, received official approval yesterday and has been supported by all the main potato membership organisations.
GB Potatoes chief executive, Scott Walker said: “Following the wind up of AHDB Potatoes, the sector has continued to face a number of serious challenges, including threats from disease and the ongoing issue of access to necessary plant protection products.
“This grant will kickstart new initiatives and galvanise existing projects that have previously operated on an annual, uncertain basis.
"It offers a foundation to transform key industry projects and develop a sustainable, industry funded model for initiatives that are critical to the future of the potato sector.
“It is a fantastic opportunity for the potato industry to now take control of its future and influence the direction of the sector by addressing industry obstacles and building resilience.”
AHDB CEO Graham Wilkinson said: “The potato sector is a vital part of UK agriculture, and we are pleased to be able to support growers and the wider industry by releasing these residual funds for projects that will significantly contribute to the industry’s success.”
Letters of support for the funding of the seven projects were received from the National Farmers' Union (NFU), NFU Scotland, NFU Cymru, the British Potato Trade Association, the Fresh Potato Supplier Association and the Potato Processor’s Association.