Defra confirms compensation reference year

Defra have confirmed in writing that compensation to growers for cuts in beet prices will not be based on 2007/08 marketing year supply contracts.

The final ministerial decision on the reference year and other elements of how compensation will be treated is not expected until early next week.

Helen Kirkman, NFU’s chief sugar adviser, welcomed the technical clarification.

She said: “This is a piece in the jigsaw that growers were waiting for, given the opening of the trading window. They need to be sure of the impacts of selling their tonneage.

“We look forward to a ministerial announcement on other elements of the sugar compensation early next week.”