HGCA sets new levy on cereals and oilseeds
THE Home-Grown Cereals Authority confirmed today (2 June) that it would cut the levy farmers pay per tonne to support the research and development body.
Farmers currently pay 40p to the HGCAs coffers on each tonne of wheat or barley they sell. The new rate will be 5% lower at 38p, while the rate payable by oilseeds growers will remain the same.
The new rates take effect from 1 July this year. Cereal dealers and processors have also had their levies cut.
Assuming a 21 million tonne crop this harvest, the cut will shave more than £400,000 from funds. But the HGCAs activities, notably research and development, will actually increase, says the HGCAs Ian Aitchison.
The authority is cash-rich thanks to the 1996 harvest, which produced an income of £11.1m.