‘Halt organic stocking rate changes’
A last ditch campaign to halt the introduction of new organic stocking rates has been launched by one of the country’s most influential certification bodies. Organic Farmers and Growers is warning that the stricter regulations will drive some producers out of business. And one of the country’s largest organic producers has warned that his future in the sector is now in question.
The new rates reducing internal stocking density affect producers who were in organic production before August 1999. EU regulations included a derogation which allowed them to ignore final changes on stocking rates until 2010. But the British Government decided to reduce the derogation period until 2005. So the changes which reduce internal stocking rates from nine birds per square metre to six and cut maximum flock size from 12,000 to 3,000 are due to come into force in August next year. Producers say the fact that European farmers will have another five years before making the changes will give them a major advantage in terms of production costs.
But hundreds of UK organic producers are already operating at the new levels. All Soil Association producers have been restricted to 6 birds per square metre since 2003 and new entrants to the industry have also had to operate at the stricter limits.
Earlier this year BFREPA produced figures which showed that changes to organic standards over the next two years will add as much as 36p a dozen to production costs. The stocking rate changes are expected to add over 10p a dozen to costs but the introduction of 100 per cent organic diets at the same time (up from the current 80 per cent) will add another 8p per dozen.
With some producers opting out of organic and the national flock being reduced by 30% at a stroke BFREPA warned of a major shortage of organic egg supplies. As the Ranger has reported the supermarkets have shown little inclination to match increasing costs with the necessary higher prices.
OF&G is pressing for a summit with Defra to discuss the looming crisis and the issue is to be discussed by the new Advisory Committee on Organic Standards. BFREPA Chairman Tom Vesey has written to ACOS calling for the changes to be put on hold for five years.
“Reduced rates will add considerably to production costs and at the present time there is no indication that these costs will be recouped from the market,” said Tom. “We are extremely concerned that as the 2005 changes apply only to the UK our members will become uncompetitive and the UK market will be at risk from cheaper imported produce.
“We believe that the UK organic egg sector should be allowed to continue operating at the same standard as other EU member states. To do otherwise would be a classic case of ‘gold-plating’ that this Government pledged to the agricultural industry it would refrain from.
“We understand that a considerable number of producers are already operating at the new levels but at least in the case of Soil Association members they are protected by higher prices.”
The Government is understood to take the view that the changes were fully discussed with the industry as long ago as 1999 and that all producers should now have plans for the change over.
“We have raised this issue several times in the past,” said OF&G’s certification manager Richard Jacobs. “But the truth is that no one could have foreseen the full impact of the changes.
“The reality is much clearer now and there can be no doubt that British producers will be at a severe disadvantage. Our Board is deeply concerned about the implications of these changes. Some producers are telling me that this will simply do them in,” he told the Ranger.
“I think the British Government introduced its own deadline for these changes because it wanted the British organic movement to have higher standards than the rest of Europe. That misguided desire to do something positive has now left organic egg producers facing real disadvantages.”
One of the UK’s biggest organic egg producers has warned that the changes may force him to quit the sector. Andy Higgins operates the Bitteswell Farm production and retailing business in Leicestershire with his brother Richard. Between 1996 and 1999 they established units with 44,000 organic layers producing eggs under OF&G standards. In a letter to the certification body Mr Higgins said: “Unless we have a derogation until December 2010 like European producers we will not be able to produce organic eggs and I suppose the market we have built up over the years will be supplied by European producers with their 2010 derogation or lost entirely.
“My Company will be left with two options. Either to market our eggs ourselves, under a lesser organic label, or to cease producing organic eggs entirely.
“Since we completed our organic farms the rules have been cranked up and up. We have decreased stocking density from 11.7 birds per metre to 9 birds. We have withdrawn amino acids and complied with many more rule changes.
“Having just invested a great deal of money and our futures in organic egg production to EU rules at the time, we argued very strongly against further changes supported by a written detailed analysis of our business. At that time our comments and observations where ignored and have been ever since.
“As usual the actual farmers who produce the products with a wealth of experience are ignored totally and I think treated disgracefully. It is common knowledge amongst large-scale organic egg producers, who supply 75% of the market requirement, that reducing stocking rates from 11.7. to 9 birds per metre was dodgy on welfare grounds due to alarmingly low house temps in the winter months and had no advantages whatsoever to the birds. To reduce from 9 birds to 6 birds is a welfare nightmare.”
