By FW staff

HOME Grown Cereals Authority levy rates for cereal growers and processors will increase by 5% from 1 July, bringing them back to the level of two seasons ago.

Producers will have to pay 40p/t (plus 7p VAT) on all grain sold to a dealer or to intervention.

Processors will be charged a standard rate of 8.25p/t (plus 1.44p VAT), with a reduced rate of 4p/t (plus 0.7p VAT) on grain sold to a feed compounder.

The HGCA has welcomed the increase, which will raise almost £8m, as essential to maintain its R&D and market information services at a time of farm recession.

Oilseed growers and grain merchants face no increase in their contributions.