asked the Minister for Agriculture if he will give details of the scheme proposed to encourage farmers to cease milk production.
Written Answers. - Milk Cessation Premium Scheme.
652.
The milk cessation premium scheme which I announced recently and which was advertised in the national newspapers on Saturday last provides for a payment of 70p per gallon (to be paid in five instalments of 14p) to producers who undertake to discontinue milk production for as long as the super-levy system operates. The purpose of the scheme is to free quotas in order that a national reserve can be set up to cater for producers whose deliveries in 1983 have been substantially affected by animal disease or certain other exceptional factors.
The quantity of milk covered by the scheme will be limited to 7 million gallons and in the event of applications exceeding that quantity selection will be made by ballot. Application forms may be had from creameries or direct from my Department. Completed forms must reach the Department not later than 10 December 1984. Applicants should not regard themselves as participants in the scheme until they have been notified to that effect by the Department.
Any producer who delivered milk to a co-operative-dairy in 1983 and is therefore entitled to a milk quota under the super-levy arrangements can apply. He must undertake to cease milk production on his holding(s) for as long as the super levy-system operates even in the event of the levy system being extended to beyond its initial five year period. He must also undertake that, in the event of his holding(s) being transferred by sale, lease or inheritance, it will be made clear to the tranferee that the quota entitlement relating to the holding(s) has been surrendered. In addition to undertaking to discontinue milk production, applicants will be required to set out details of milk deliveries made by them in 1983 and if appropriate in 1984 and to have these details certified by the co-operative-dairy concerned before the application is sent to the Department.