FPC rejects massive hike in plant health statutory charges

UK growers and importers will be hit by massive hikes in statutory charges for plant health inspections of fresh produce and cut flowers which could hit the consumers’ pocket, says the Fresh Produce Consortium (FPC).

"This is an extortionate escalation in charges, in several cases over 100 per cent," said Nigel Jenney, Chief Executive of FPC. "We demand that Fera makes immediate efficiencies and targets its resources towards where the real plant health problems lie, outside fresh produce. The industry should not have to bear exorbitant costs for a continually inefficient service."

Plant health issues arising from fresh produce are minimal; accounting for less than one per cent of all consignments. FPC insists that Fera should undertake a full review, introduce efficiencies and reduce the frequency of checks on reputable traders before it considers introducing any increased charges.

"Some sectors of the industry will struggle to absorb these costs, even if they were phased in over three years. The UK will be rendered less competitive, and there is the risk that trade will be pushed elsewhere in Europe where these services run efficiently," said Nigel Jenney. "Alternatively UK consumers could face, for no benefit whatsoever, a 1.9 per cent increase in prices, according to Fera’s estimated values. That’s something which any Government would wish to avoid in the current economic climate."

Fera is set on moving towards a full cost recovery for its services, and the proposed increases in charges include:

• Phytosanitary import inspection fees: 458% increase for plant health checks;

• Plant passport fees: 111% increase for inspections;

• Plant health licensing and services: 113-312% increases in fees;

• Seed potato certification: 103% increase in fees;

• Import services for potatoes originating in Egypt: 268% increase.

Fera has failed to provide the industry with sufficiently detailed information about its current resourcing and service levels as part of the consultation on proposed increases in charges.

FPC believes that there is an ineffective strategy of a 50:50 split of resources between airports and sea ports. There have been 289 interceptions of fresh produce and cut flowers in the last ten months, with over 97% of interceptions taking place at three airports: Gatwick, Heathrow and Manchester. In the same period it has cost c. £3m to identify one solitary interception at a sea port.

Based on Fera’s data, in 2011 just 5 countries were responsible for 77% of the issues in relation to fresh produce and cut flowers, and 86% of interceptions related to just 4 products. FPC believes that Fera could better target its resources to stemming the problems by targeting the perpetrators and engaging in a dialogue with these countries.

"The industry has paid out for years for an incomplete service, with issues relating to IT and delays in completion of checks. Our members expect a far better level of service for their investment. Fera should be seeking to minimise costs and delays in clearance by working with other government departments and agencies to fast-track the delivery of the Assured Trader Scheme which recognises the high standards of reputable traders," added Nigel Jenney.