Pigs garner SFP cash
OUTDOOR PIG producers will soon be able to claim the area element of the single farm payment for the first time.
The regional area payment in 2005 will be worth an estimated ÂŁ8/acre (ÂŁ20/ha), but the deadline for applications is less than a week away.
The payment will increase in value until 2012, when it will be worth between ÂŁ60 and ÂŁ65/acre (ÂŁ150/ha) after deductions such as modulation.
The benefit of the SFP should be reflected in future land rents – currently in the £150-250/acre (£370-620/ha) range for outdoor pig units.
On units where the landowner retains the SFP, rents should be lower unless there is strong competition from others looking for light land sites.
Concern over cross compliance rules on outdoor pig units has been allayed by a recent DEFRA statement (see story Apr 4).
But the National Pig Association are warning outdoor pig keepers to remain pro-active on soil management rules.
Keepers must stick to DEFRA’s guidance this year, but they must draw up a specific soil management plan by 2007.
Otherwise they run the risk of breaching rules on keeping land in good agricultural and environmental condition.
The Rural Payments Agency is under pressure to ensure their farm inspectors have working knowledge of outdoor pig units.
The agency says breaches of cross compliance and GAEC rules will first attract a caution and recommendations to improve soil management practices.
But persistent offenders should expect financial penalties.