Try again on compensation, NPAtold
Try again on compensation, NPAtold
THE National Pig Association has been told by the government to go back to the drawing board and come up with a new proposal to put to the EU Commission on the subject of compensation for the cost of BSE-related food safety measures.
The association had hoped junior farm minister Joyce Quin would agree, during a meeting on Monday, to a proposal to send a joint NPA/MAFF delegation to Brussels to put the case for assistance. The NPA estimates the so-called BSE tax costs the industry £80m/year.
Ms Quin explained that farm minister Nick Brown had already been rebuffed when he made an informal approach to the commission on the grounds that payments would represent an "operational subsidy", said NPA chief executive Mike Sheldon.
"She [Ms Quin] said you only get one chance with the commission, so before we go back we need to come up with a new case," he said.
While the ministers response was not a "rebuff", he said the NPA was disappointed that the urgency of the situation was not recognised in this further delay.
He pointed out that when NPA delegates met commission officials and the Ulster Farmers Union met farm commissioner Franz Fischler, strong hints were given that there could be a case for compensation on the grounds of "exceptional circumstance".
"The key is that the BSE tax has been imposed because of a problem that occurred in another sector and that the relevant legislation applies only to the UK," he said.
The money the NPA wants would come from the UK Treasury and Mr Sheldon emphasised that, even if the commission gives the go ahead, an equally significant obstacle is whether Mr Brown is willing to help.
"During October he indicated that he understood and supported our argument. But it appears he may have reverted back to his supply and demand explanation of the crisis," said Mr Sheldon.