The so called Scottish derogation only allows for the allocation of entitlements to farmers who never held entitlements, either owned or leased, but who were actively farming in 2013. Such farmers must produce verifiable evidence that in 2013 they 'produced, reared or grew agricultural products' in the Beef, Sheep or arable sectors.
Participation in the Disadvantaged Areas Scheme in itself does not confer an automatic right to receive entitlements under the Basic Payment Scheme in 2015. However, as that Scheme does require farmers' holdings to satisfy minimum stocking density requirements, it is a good indicator that a farmer was actively farming. Persons who qualify under the Scottish derogation will not carry forward any 'value' from the Single Payment Scheme and will therefore be allocated an Initial Unit Value of zero. Starting in 2015 the convergence process will increase this value upwards so that by 2019 the value of such entitlements will reach the minimum value of 60% of the national average entitlement value.