“The CAP reform agreement allows farmers to produce what the market and consumers want rather than what the subsidy regimes dictate,” a spokesperson for Defra says.
Although an eventual flat rate payment will apply in 2012 with each eligible hectare attracting the same rate of subsidy, there will be a period of transition where payments will be made up of a percentage flat rate and a percentage based on individual historic payments. “It stands to simplify matters by rolling a plethora of subsidies into a new single payment which is not linked to what they produce. It will reduce the environmental impact of farming by removing an incentive to intensify production and by linking subsidy to compliance with environmental and other standards,” says the spokesperson for Defra.
So far, so good; there’s surely demand for good old Cox and Bramley apples - so where’s the problem?
Defra has made it very clear that land used for permanent crops, including orchards, cannot be used to support a claim, meaning that if apple trees are not felled before December 31 2004, farmers lose this single payment and, more importantly, substantial land value. Not surprisingly, this has sent waves of concern and anger throughout much of the industry, not least because Defra had lumped all orchards into one bag to include the traditional orchards.
Their comeback was that most traditional apple orchards were already receiving subsidy in the form of the Countryside Stewardship Scheme, which ends this year. This, however, is far from accurate. A figure released by Defra states that just over 6,000 acres of all fruit orchards, which includes plums, cherries, pears, cobnuts and cider apples, belong to the Countryside Stewardship Scheme and that 75 per cent of these orchards are located in the south-west and the West Midlands. In fact, a very low percentage of dessert apples are actually grown in these areas, most are grown in the south-east, implying very few apple orchards are covered under this scheme.
Defra has since made an inclusion for traditional dual-purpose orchards, that is, land that is also used for grazing sheep and cattle. But the situation was made even bleaker with the announcement made by the Food Standards Agency (FSA) that fruit grown in grazed orchards would be banned from entering the food chain. However, successful lobbying ensued from various bodies including the Herefordshire Orchard Topic Group and the FSA have now removed orchards from its manures guidance.
So perhaps welcome news for some but Adrian Barlow of English Apples and Pears feels this has all the signs of a red herring. “Less than five per cent of commercial orchards in this country are traditionally managed. The days of day-old lambs grazing amidst fruit trees are long gone. The EU should be including all orchards since most of our apples come from these commercial orchards,” he says.
Will and Roz Day of Great Tong Farm, near Headcorn in Kent, have had their 18 acres of culinary and dessert apple trees in the family for 90 years. Although they say growing apples is far from economic, the orchards remain very close to their hearts. Survival has had to come in the form of diversification where they have run a series of workshops on their remaining 800 acres since 1978. “We have traditional standard orchards, covering around eight acres, where we grow mostly Bramley, Howgate Wonder and Grenadier varieties. There is tremendous diversity in terms of wildlife, hedges and ponds. As such, we were able to join the Countryside Stewardship Scheme last year,” says Roz Day. “Along with the modern orchards we have, we supply the supermarkets and we also have a peeling contract where the apples are turned into pies and other products. So we have no plans to say goodbye to our orchards. We’re only small growers and the way we grow and market our apples certainly works for us,” she continues.
Farmers, like the Days with traditional orchards, will have to reapply to Defra for the new Environmental Stewardship Scheme due to start early next year. Although it replaces the existing scheme, there will be more emphasis on maintenance and not just restoration which was the case with Countryside Stewardship. Defra has announced that it will also include a series of new features designed to help farmers deliver the right environmental management. The scheme will be based on a points system with three tiers. Orchard owners will be particularly interested in the Higher Level Stewardship since this is where they can gain sufficient points to be eligible. Elliott Morley, minister of state for environment and agri-environment, says: “Higher Level Stewardship builds on the solid foundation of our existing schemes to produce one of the most flexible and outcome-focused agri-environment schemes in Europe.”
There are many reasons why there are currently few orchards receiving subsidy from the Countryside Stewardship Scheme. The fact it’s a 10-year scheme is often off-putting not to mention the way the land has to be managed, but perhaps an important factor is the amount of grants available in the first place. There simply hasn’t been enough money for all traditional orchards and, with no indication as to the exact allowances under the new scheme, the picture may well remain the same.
Traditional orchard owners will certainly be breathing sighs of relief, however few of them there are. Whether or not they all stand to receive Stewardship subsidy remains to be seen. Modern orchards, on the other hand, are unlikely to see any respite. “The only way large modern orchards can compete with the flood of imports and therefore see any glimpse of a return on their apples is to adopt modern management techniques. Not only does this encompass the art of growing but a sound business practice is essential,” says Adrian Barlow.
Although there has been a fair amount of talk in the industry about farmers grubbing up, there has been little evidence so far. If any felling is to happen, it certainly won’t be for a few months yet.
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