The annual cereal and oilseed levies paid by growers and processors will remain unchanged next season, DEFRA has announced today (26 June).

Rates (plus VAT) that will apply from 1 July 2006 to 30 June 2007 are:

• Cereal grower levy: 40p per tonne sold into intervention directly or through an intermediary
• Cereal dealer levy: 43.3p per tonne purchased direct from growers (includes a sum equal to the cereals grower contribution)
• Standard rate cereal processor levy: 8.25p per tonne sold and delivered to processors other than animal feed processors
• Reduced rate cereal processor levy: 4p per tonne sold and delivered to animal feed processors
• Oilseed grower levy: 65p per tonne sold by growers

In all cases, under the terms of the Home Grown Cereals Authority Levy Scheme, all buyers (including other farmers purchasing directly as an alternative to buying from a merchant) are required to register with the HGCA and collect the levy. Failure to do so may result in legal action.