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21st January 2005
When will the National Reserve open for applications?
The Welsh Assembly Government plans to open the National Reserve twice.
Once in January for the following categories:
• New entrants who began farming between 1 January 2003 and 2 November 2004 or in 2002, but did not receive any CAP payments that year.
• Investors and developers. To be eligible for this category a farmer must have made an investment that has increased their production capacity.
• Farmers who acquired a lease or purchased leased land subject to certain conditions.
• Participants in nationally funded agrienvironment schemes.
• Farmers who changed from dairy production to livestock and/ or arable between 2000 and 15 May 2004 may also apply for an allocation.
Application forms will be available from Assembly Divisional Offices shortly before
the first period for opening in January. The closing date for these categories is likely to be March 2005
The second National Reserve will open in March 2005 for the following categories:
• Dairy farmers who, due to exceptional circumstances, leased out milk quota in 2004/2005.
• Farmers who received, by transfer or by lease, a holding whose land was leased to a third person in 2000-2002, from a farmer who retires or dies before 15 May 2005.
• consolidation of entitlement
What is the definition of a new entrant?
New entrants are defined as farmers who began their agricultural activity after 31
December 2002, (or in 2002 but without receiving any direct subsidy payment in
that year), and by 2 November 2004. They must not have had any agricultural activity
in their own name and at their own risk in the 5 years preceding the start of the new
agricultural activity.
How will National Reserve entitlement be calculated for new entrants?
Farmers who qualify for the National Reserve will be awarded entitlements based on their declared hectares multiplied by the regional average payment per hectare. The Assembly cannot confirm what the regional average will be at present.
Can I consolidate/ stack entitlements?
The consolidation/ stacking of entitlements – on less hectares declared in 2005 than
the average in 2000-2002 is permitted where:
• Agricultural land has been converted to woodland primarily for environmental or social benefits since 2003.
• Short term leases have not been renewed following their expiry.
• Tenants have been served notice to quit by landlords.
• Tenants have had land taken back by their landlord.
Applications will need to be supported by relevant documentary evidence. Such entitlements will have to be used every year for five years and can only be traded after five years.
FOR PROFESSIONAL ADVICE WITH A WELSH NATIONAL RESERVE APPLICATION Please Contact Mr Glyn Owens or Miss Jenny Layton – Knighton Office Tel: 01547 528621 or Mr Gareth Wall - Kington Office Tel: 01544 230316 or Mr Ryan Williams - Hay Office Tel: 01497 820778 or Mr Chris Jones - Brecon Office Tel: 01874 622386
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