Producer Organisations are growing “increasingly anxious” as they wait to learn whether or not they have been recognised by the Rural Payments Agency (RPA) as being eligible for financial support, the National Farmer’s Union (NFU) has said.
In August, 17 co-operatives of growers who qualified to become Producer Organisation (POs) lost their RPA funding for up to a year because they failed to show they were complying with the rules of the scheme.
Some POs have been asked to produce new or amended programmes by the 20 January. The NFU said the feedback from growers and POs suggests a mood of concern and frustration at communication by the RPA as pressure on finances increases.
NFU chief horticulture and potatoes adviser, Hayley Campbell-Gibbons, said: “POs are concerned that the RPA still hasn’t looked at all of the evidence in detail following the one to one meetings that were held back in September.
“There is also a general sense of disappointment that the communication to POs has been largely generic since the announcement in August.
“POs would have liked more feedback on their position following the one to one discussions with the RPA. As it stands, they don’t know what’s happening on their individual cases.”
The co-operatives are due to be updated on their status at the end of February. Campbell-Gibbons said a PO could be in a position where it has had to wait until the end of February to hear that it has been de-recognised, despite having been co-operative and prompt in responding to the RPAs requests for more evidence in September.
“Nobody wants a nasty surprise on their individual status following five months of silence,” she said.
“POs need to start 2012 in the right place. However, many are spending money without any confidence that they will succeed. The RPA needs to be aware of the on-going financial distress and uncertainty, and take action to resolve this situation sooner rather than later.”
The Producer Organisation scheme was designed to help growers increase their competitiveness in the supply chain.
The European Union (EU) Fruit and Vegetables Regime provides financial support to co-operatives formed by producers, which must meet EU driven criteria and methodology to be recognised as Producer Organisations (POs).
POs are legal organisations that require formal recognition by the Rural Payments Agency (RPA), which operates the Scheme.
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