The Milk Production Reduction Scheme is now open for applications.
The voluntary scheme will pay up to 12.23 pence per litre to reduce milk output in four reduction periods:
1 October to 31 December 2016
1 November 2016 to 31 January 2017
1 December 2016 to 28 February 2017
1 January to 31 March 2017
If you apply for the first reduction period, you can also apply for the fourth reduction period. Otherwise, you can only apply for a single reduction period. If the scheme is over-subscribed in one or more reference periods, the volume of milk eligible for payment will be reduced. If one of the reduction periods is full or oversubscribed, the remaining reduction periods will be cancelled. If this happens, all applications for the remaining reduction periods will be rejected. With this in mind, it makes sense to apply for the first reference period if you are going to apply, but even then you will not be guaranteed payment for all the litres you reduce by.
WHO CAN APPLY?
You can apply if you were selling milk in July 2016 and you were a milk producer in the reference period you’re applying for.
To apply, you must plan to reduce your cows’ milk deliveries by at least 1,457 litres (1,500kg) in the relevant reduction period. The maximum you can apply for is a 50% reduction of the cows’ milk you produced in the reference period (even if you plan to reduce milk deliveries by more than 50%).
The deadline for applications for the first period is 11 am on 21 September.
If you would like to discuss whether this scheme is worthwhile applying for on your farm, please contact Sam on 07777 696080 or email email@example.com