Eggs and poultry
Financial aid in the eggs and poultry sector
Direct financial support for the poultry industry is extremely limited. This is due to the light Common Agricultural Policy (CAP) regime operating in the egg and poultry sectors. However, there are some opportunities available, and these have been listed below:
State aids
As you may be aware, new rules on state aid and the Rural Development Regulations (RDR) have been adopted by the EC.
Previous increased production restrictions on poultry applications have been removed, so we have to look to our Common Organisation of the Market regulations (2771/75 and 2777/75 for eggs and poultry respectively) to determine what is permissible. Articles 2(1) of 2771/75 and 2777/75 permit Community measures to promote better organisation of production, processing and marketing, but do not allow action relating to withdrawal from the market. These provisions do not preclude the use of national State Aids.
Both the Common Organisation regulations mentioned above also allow special measures to compensate for any restrictions imposed to prevent the spread of animal disease (e.g. compensation for the slaughter of birds due to Newcastle disease or salmonella, Articles 14 of both regulations refer).
Rural Development Regulations
The Rural Development Regulations required the Government to set out how the re-direction of agriculture was to be achieved. This has been done in the form of the England Rural Development Programme (ERDP). There are similar plans for the devolved administrations.
Details of the full range of ERDP schemes is available.
Farm Business Advice Service
"The Farm Business Advice Service (FBAS) - knowing your options" was launched in October 2005 and is available to farmers in England until 31 March 2007. This is a restructured service which replaces the former three day Farm Business Advice Service which ended on 31 March 2005.
The aim of the new service is to provide consultancy advice to farmers to help them understand the implications of the Single Payment Scheme (SPS) introduced in January 2005 on their individual farm businesses.
The advice will identify the effect Single Payment Scheme issues have on individual farm businesses and will encourage farmers to think about options such as restructuring, diversification, co-operation or even developing an exit strategy from the industry. A key element of the programme will be signposting on to appropriate sources of advice and information (including grants and other funding streams).
Agri-environment aids
There may be opportunities to obtain grants under the agri-environment umbrella. The schemes involve grants towards making substantial environmental improvements to farm holdings. Further details are available by seeing the appropriate scheme below or by contacting local Defra Regional Development Service offices
- Environmental Stewardship - provides funding to farmers and other land managers in England who deliver effective environmental management on their land
- Organic Entry Level Stewardship - to deliver simple yet effective environmental management
- English Woodland Grant Scheme - run by the Forestry Commission to create new woodland and manage exsisting woodland
Details of the full range of agri-environment schemes are available.
Department of Trade and Industry (DTI) administered schemes
DTI administer schemes which may be of interest to egg and poultry producers:
- Regional Economic Development, which may be applicable for larger projects.
Applications must be made via local Government Offices.
Several poultry producers in the past have taken advantage of the DTI Small Firms Loan Guarantee Scheme. This, as the name suggests, guarantees loans from banks and other financial institutions for new and existing small businesses with viable business proposals which have tried and failed to obtain a conventional loan because of lack of security.
- DTI Small Firms Loan Guarantee Scheme
Redundant Building Grant
This is available in some areas and is available for the conversion of unused farm buildings into offices/workshops or into new uses by the farm itself. More information on this grant can be obtained from the local Government Offices.
Other schemes
Although strictly not a State Aid, the Home Grown Cereals Authority (HGCA) operates an Enterprise Awards scheme for users of cereals. This can include cereals used in feed rations or cereal ingredients in value-added production. The poultry industry is one of the largest users of cereals in the UK; indeed, cereals for feed use constitute the single greatest production cost for both eggs and poultrymeat. The poultry sector has successfully utilised these awards in the past, by providing innovative ideas likely to increase demand for cereals in the long run.
The mission of j4b is to help businesses everywhere of every shape and size find out about any grants, financial assistance, subsidies and help-in-kind that may be available to them:
Page last modified: 13 September 2006