In general the scheme descriptions for Wales
are very similar to England. Only the differences and issues specific
to Wales have been noted in this annex.
1. ARABLE AREA
In Wales, to qualify for area payments part
of the area on which aid is claimed has to be set aside, unless
the total area claimed is 17.79 hectares or less, in which case
there is an exemption from the requirement for set-aside. In 2000
the obligatory set-aside rate is 10 per cent.
AAPS Statistics for 1999
In Wales there were 2,342 claims received and
expenditure totalled £10.4 million. Approximately 51,600
hectares (ha) of arable land was claimed under the main scheme
in Wales, of which around 41,300 ha was in cereals, 2,100 ha in
oilseeds, 1,100 ha in proteins and 2,000 ha in linseed. Set-aside
accounted for approximately 5,100 ha. Nearly 16,200 ha was claimed
under the simplified scheme.
Although the base area for maize in Wales was
exceeded in 1999 there was enough surplus within other crop base
area to cover this so that total base area was not exceeded (see
|Base area||Claimed area
The table below gives the payment rates for Wales, in Sterling
and in Euros per hectare for 1999 and 2000, and in Euros only
for 2000 (the Sterling rates for 2000 will be based on the average
of the exchange rates prevailing during June):
|Cereals (including maize)||£178.3922
|Wales (non LFA)||1999|
|Cereals (including maize)||£182.6307
2. BEEF SPECIAL
In 1999 in Wales there were 26,562 claims received and expenditure
totalled £23.5 million.
3. SUCKLER COW
In 1999 in Wales there were 7,645 claims and expenditure
totalled £25.6 million.
4. EXTENSIFICATION PAYMENTS
In Wales a Statutory Instrument will be made during 2000-2001.
5. SHEEP ANNUAL
In Wales in 1999 there were 13,967 claims and expenditure
totalled £90 million.
6. SLAUGHTER PREMIUM
In Wales a Statutory Instrument will be made during 2000/2001.
7. LIVESTOCK QUOTAS
The GB lowland and Wales less favoured area are the relevant
Ring-Fence-Areas in Wales.
8. HILL LIVESTOCK
The Agenda 2000 CAP reforms have changed the basis on which
support for farmers in the Less Favoured Areas (LFAs) can be provided.
In future, LFA aid payments must comply with the Rural Development
Regulation (RDR). This requires that payments be made on an area,
rather than headage, basis. However, delays in introducing the
RDR meant that special arrangements were made for headage-based
HLCAs to continue to be paid in 2000.
A new area-based Tir Mynydd scheme has been introduced as
part of the Wales Rural Development Programme (WRDP). The first
payments under this scheme will be made early in 2001.
Tir Mynydd is partly funded by the EU and is designed to
make an effective contribution to the maintenance of the social
fabric in upland rural communities through support for continued
agricultural use. Tir Mynydd will also help to preserve the farmed
upland environment by ensuring that land in LFAs is managed sustainably.
Tir Mynydd, part of the WRDP, is operated under authority of Council
regulation 1257/99 and Commission Regulation 1750/99. [Assembly
legislation is being drafted.]
Claimants must submit an IACS area aid application in the
year prior to Tir Mynydd payment. They must farm at least six
hectares of eligible forage land in the less favoured areas of
Wales on which they keep breeding sheep or suckler cows at a minimum
stocking density of 0.1 livestock units. Claimants must adhere
to Good Farming Practice.
Payments per hectare for 2001 will be:
Severely Disadvantaged Area£35/ha
These rates will be paid up to and including 140 hectares.
For a holding of over 140 hectares, payments on eligible forage
land on that part of the holding in excess of 140 hectares, but
up to and including 640 hectares, will be reduced by 35 per cent.
For a holding of over 640 hectares, payments on eligible
forage land on that part of the holding in excess of 640 hectares
will be reduced by 70 per cent.
Payments may be enhanced by up to 20 per cent if farmers
meet certain environmental criteria such as low stocking or farming
The move to area based payments will lead to some redistribution
of support when compared to HLCAs. The rates set and the taper
all minimise this effect. To allow hill farmers to adjust to the
new payments, and to take advantage of other income streams that
will build up under WRDP, a safety net mechanism will cushion
those farmers who will lose money. In 2001 the safety net guarantees
that no farmer will receive less than 90 per cent of the 2,000
receipts paid under HLCA, provided their forage area does not
decline. In 2002 the safety net falls to 80 per cent.
In 2003 the minimum sum payable (on the same assumptions)
will be the farmers entitlement together with 50 per cent of the
difference between that entitlement and sum payable in 2000, where
that sum is greater than his entitlement as calculated under Tir
In 2004 and subsequent years the safety net will no longer
9. AGRIMONETARY COMPENSATION
As a result of the introduction of the Euro, agrimonetary
compensation payments were made to 1998 SAP claimants to ease
the transition to the new agrimonetary system. In 1999 these payments
were also made to AAPS, BSPS, SCPS claimants. This compensation
is being paid in three instalments.