2011 No. 2831 (W.304)

LANDLORD AND TENANT, WALES

The Agricultural Holdings (Units of Production) (Wales) Order 2011

Made

Laid before the National Assembly for Wales

Coming into force

The Welsh Ministers, in exercise of the powers conferred by paragraph 4 of Schedule 6 to the Agricultural Holdings Act 19861 and now vested in them2, make the following Order.

Title, commencement, application and interpretation1

1

The title of this Order is The Agricultural Holdings (Units of Production) (Wales) Order 2011, it applies in relation to Wales, and comes into force on 21 December 2011.

2

In this Order—

  • “Council Regulation 73/2009” (“Rheoliad y Cyngor 73/2009”) means Council Regulation (EC) No. 73/2009 establishing common rules for direct support schemes for farmers under the common agricultural policy and establishing certain support schemes for farmers, and amending and repealing certain Regulations3;

  • “designated maps” (“mapiau dynodedig”) means the two volumes of maps numbered 1 and 2 each volume being marked “Volume of maps of less favoured farming areas in Wales” and with the number of the volume dated 20 May 1999 signed by the Secretary of State for Wales and deposited at the offices of the Welsh Government, Cathays Park, Cardiff, CF10 3NQ;

  • “disadvantaged land” (“tir dan anfantais”) (except in the expression “severely disadvantaged land”) means any area of land shown coloured blue on the designated maps;

  • “eligible hectare” (“hectar cymwys”) has the same meaning as in Article 34(2) of Council Regulation 73/2009;

  • “less favoured areas” (“ardaloedd llai ffafriol”) means land that is disadvantaged or severely disadvantaged;

  • “severely disadvantaged land” (“tir dan anfantais ddifrifol”) means the area of land shown coloured pink on the designated maps; and

  • “Tir Mynydd payment” (“taliad Tir Mynydd”) means financial assistance paid in accordance with regulation 3 of the Rural Development Programmes (Wales) Regulations 20064.

Assessment of productive capacity of land2

1

Paragraphs (2) and (3) have effect for the purpose of the assessment of the productive capacity of a unit of agricultural land situated in Wales, in order to determine whether that unit is a commercial unit of agricultural land within the meaning of paragraph 3(1) of Schedule 6 to the Agricultural Holdings Act 1986.

2

Where the land in question is capable, when farmed under competent management, of being used to produce any livestock, farm arable crop, outdoor horticultural crop or fruit as is mentioned in any of the entries 1 to 3 in column 1 of the Schedule to this Order, then—

a

the unit of production prescribed in relation to that use of the land is the unit in the entry in column 2 of that Schedule opposite to that entry, and

b

the amount determined, for the period of 12 months beginning with 12 September 2011, as the net annual income from that unit of production in that period is the amount in the entry in column 3 of that Schedule opposite to that entry as read with any relevant note to that Schedule.

3

Where land capable, when farmed under competent management, of producing a net annual income is eligible to receive a Tir Mynydd payment (see entry 4 in column 1 of the Schedule to this Order), or was an eligible hectare in 2010 (see entry 5 in column 1), then—

a

the unit of production prescribed in relation to that use of the land is the unit in the entry in column 2 of that Schedule opposite to that entry, and

b

the amount determined, for the period of 12 months beginning with 12 September 2011, as the net annual income from that unit of production in that period is the amount in the entry in column 3 of that Schedule opposite to that entry.

Revocation3

The Agricultural Holdings (Units of Production) (Wales) Order 20105 is revoked.

Alun DaviesDeputy Minister for Agriculture, Food, Fisheries and European Programmes, under authority of the Minister for Business, Enterprise, Technology and Science, one of the Welsh Ministers

SCHEDULEPRESCRIBED UNITS OF PRODUCTION AND DETERMINATION OF NET ANNUAL INCOME

Article 2

Column 1

Column 2

Column 3

Farming use

Unit of production

Net annual income from unit of production (£)

1. Livestock

Dairy cows

cow

288

Beef breeding cows:

on land in a less favoured area

cow

−166

on other land

cow

−147

Beef fattening cattle (semi-intensive)

head

−80(1)

Dairy replacements

head

94(2)

Ewes:

on land in a less favoured area

ewe

−1

on other land

ewe

3

Store lambs (including ewe lambs sold as shearlings)

head

3.60

Pigs:

sows and gilts in pig

sow or gilt

326

porker

head

10.10

cutter

head

12.80

bacon

head

15.30

Poultry:

laying hens

bird

3.70

broilers

bird

0.30

point-of-lay pullets

bird

0.40

Christmas turkeys

bird

5.30

2. Farm arable crops

Barley

hectare

160

Beans

hectare

78.19(3)

Oilseed rape

hectare

241

Dried peas

hectare

209.19(3)

Potatoes:

first early

hectare

2762

maincrop (including seed)

hectare

2023

Sugar beet

hectare

640

Wheat

hectare

374

3. Outdoor horticultural crops and fruit

Orchard fruit

hectare

2850

Soft fruit

hectare

7350

4. Forage land

On land which is eligible for the purposes of a Tir Mynydd payment

hectare

the amount of Tir Mynydd payment required to be paid under regulation 3 of the Rural Development Programmes (Wales) Regulations 2006

5. Eligible hectares

Land which was in 2010 an eligible hectare for the purposes of Council Regulation 73/2009

severely disadvantaged land, excluding moorland

hectare

134.22

disadvantaged land

hectare

173.11

all other land

hectare

122.46

(1)

This is the figure for animals which would be kept for 12 months. In the case of animals kept for less than 12 months a pro-rata adjustment of this figure is to be made.

(2)

This is the figure for animals (irrespective of age) which would be kept for 12 months. In the case of animals kept for less than 12 months a pro-rata adjustment of this figure is to be made.

(3)

This figure includes the protein crop premium provided for in Article 79 of Council Regulation 73/2009.

(This note is not part of the Order)

This Order prescribes units of production for the assessment of the productive capacity of agricultural land situated in Wales and sets out the amount which is to be regarded as the net annual income from each such unit for the year 12 September 2011 to 11 September 2012 for certain purposes of the Agricultural Holdings Act 1986 (“the 1986 Act”). This Order revokes the Agricultural Holdings (Units of Production) (Wales) Order 2010 (S.I. 2010/2825 (W.232)).

An assessment of the productive capacity of agricultural land is required in determining whether or not the land in question is a “commercial unit of agricultural land” for the purposes of the succession provisions in the 1986 Act: see in particular sections 36(3) and 50(2). A “commercial unit of agricultural land” is a unit of agricultural land which, when farmed under competent management, is capable of producing a net annual income which is not less than the aggregate of the average annual earnings of two full-time male agricultural workers aged 20 years or over (paragraph 3 of Schedule 6 to the 1986 Act). Article 2 of this Order provides that, in determining this annual income figure, whenever a particular farming use mentioned in column 1 of the Schedule is relevant to the assessment of the productive capacity of the land in question, the units of production and the net annual income specified in columns 2 and 3 respectively will form the basis of that assessment.

This Order includes net annual income figures for land which was, in 2010, an eligible hectare for the purposes of Council Regulation (EC) No 73/2009 (OJ No L 30, 31.1.2009, p.16). There are separate figures in the Schedule for severely disadvantaged land, disadvantaged land and other land.

A regulatory impact assessment has not been produced for this instrument as no impact on business or the private or voluntary sector is foreseen.