Co-ops protest over grant aid for rival project
Co-ops protest over grant aid for rival project
By John Burns South-west correspondent
TWO established West Country livestock marketing co-ops fear they could be undermined following what they believe is an ill-judged decision to offer grant aid to a rival project.
They claim the row that has broken out was sparked by MAFFs decision to rush through a £100,000 grant to set up a new livestock marketing scheme.
The co-ops accuse officials of trying to boost publicity ratings first before checking to see what groups already existed in the region. MAFF denies this, saying it "would not engage in a vulgar publicity-grabbing exercise".
The new scheme, the Mole Valley Initiative, will be competing directly with Wessex Quality Meat and Cornish Quality Livestock to procure and sell stock, say WQL chairman Chris Tory and his CQL counterpart, Tom Foot. Both their co-ops are working together to develop a South West Quality Meat brand.
The MVI grant was announced in a blaze of publicity last August, and the scheme was launched at Smithfield.
The row has emerged only recently after a meeting with MVI failed to produce any hope of mutual co-operation.
Mr Tory and Mr Foot claim they were only approached by Mole Valley about a Holstein bull beef scheme, which was of no interest because they already had their own schemes. They say they did not know it had moved on to include other types of beef until just before the launch.
Mr Foot is angry that the two co-ops will be competing against a subsidised newcomer with no previous experience of or contacts in the meat trade. "It will just add costs for farmers and processors will be able to play us off against each other.
Unfair competition
"I dont mind fair competition, but this will not be fair.
"MAFF staff in this region dealing with our grant knew nothing about the grant to MVI. And while ours took ages to get through, the MVI went through in six weeks flat, dealt with entirely by MAFF in London."
Brian Jennings, chairman of MVI, insists his scheme is a "conception to consumption" assurance scheme which no one else was offering.
He adds that Mole Valley Farmers, MVIs parent co-op, had repeatedly been asked to start a livestock marketing scheme, including a request from a director of WQM.
Given MVIs small percentage share of the regions cattle, Mr Jennings cannot see how it can compete against the other co-ops. He believes business will go to the scheme giving the best long-term returns.
Mr Foot says he is still willing to talk. "My complaint is about MAFF. If, in the coming months, we have a chance to sit round a table with MVI, we will." *