The Agricultural Holdings (Units of Production) (Wales) Order 2014

Welsh Statutory Instruments

2014 No. 41 (W. 3)

Landlord And Tenant, Wales

The Agricultural Holdings (Units of Production) (Wales) Order 2014

Made

15 January 2014

Laid before the National Assembly for Wales

16 January 2014

Coming into force

14 February 2014

The Welsh Ministers, in exercise of the powers conferred by paragraph 4 of Schedule 6 to the Agricultural Holdings Act 1986(1) and now vested in them(2), make the following Order.

Title, commencement, application and interpretation

1.—(1) The title of this Order is The Agricultural Holdings (Units of Production) (Wales) Order 2014, it applies in relation to Wales, and comes into force on 4 February 2014.

(2) In this Order—

“Council Regulation 73/2009” (“Rheoliad y Cyngor 73/2009”) means Council Regulation (EC) No. 73/2009 establishing common rules for direct support schemes for farmers under the common agricultural policy and establishing certain support schemes for farmers, and amending and repealing certain Regulations(3);

“designated maps” (“mapiau dynodedig”) means the two volumes of maps numbered 1 and 2 each volume being marked “Volume of maps of less favoured farming areas in Wales” and with the number of the volume dated 20 May 1999 and signed by the Secretary of State for Wales and deposited at the offices of the Welsh Government, Cathays Park, Cardiff, CF10 3NQ;

“disadvantaged land” (“tir dan anfantais”) (except in the expression “severely disadvantaged land”) means any area of land shown coloured blue on the designated maps;

“eligible hectare” (“hectar cymwys”) has the same meaning as in Article 34(2) of Council Regulation 73/2009;

“less favoured area” (“ardal lai ffafriol”) means land that is disadvantaged or severely disadvantaged;

“severely disadvantaged land” (“tir dan anfantais ddifrifol”) means the area of land shown coloured pink on the designated maps.

Assessment of productive capacity of land

2.—(1) Paragraphs (2) and (3) have effect for the purpose of the assessment of the productive capacity of a unit of agricultural land situated in Wales, in order to determine whether that unit is a commercial unit of agricultural land within the meaning of paragraph 3(1) of Schedule 6 to the Agricultural Holdings Act 1986.

(2) Where the land in question is capable, when farmed under competent management, of being used to produce any livestock, farm arable crop, outdoor horticultural crop or fruit as is mentioned in any of the entries 1 to 3 in column 1 of the Schedule to this Order, then—

(a) the unit of production prescribed in relation to that use of the land is the unit in the entry in column 2 of that Schedule opposite to that entry, and

(b) the amount determined, for the period of 12 months beginning with 12 September 2013, as the net annual income from that unit of production in that period is the amount in the entry in column 3 of that Schedule opposite to that entry as read with any relevant note to that Schedule.

(3) Where land capable, when farmed under competent management, of producing a net annual income was an eligible hectare in 2012 (see entry 4 in column 1), then—

(a) the unit of production prescribed in relation to that use of the land is the unit in the entry in column 2 of that Schedule opposite to that entry, and

(b) the amount determined, for the period of 12 months beginning with 12 September 2013, as the net annual income from that unit of production in that period is the amount in the entry in column 3 of that Schedule opposite to that entry.

Revocation

3.  The Agricultural Holdings (Units of Production) (Wales) Order 2012(4) is revoked.

Alun Davies

Minister for Natural Resources and Food, one of the Welsh Ministers

15 January 2014

Article 2

SCHEDULE PRESCRIBED UNITS OF PRODUCTION AND DETERMINATION OF NET ANNUAL INCOME

Column 1 Farming use		Column 2 Unit of production	Column 3 Net annual income from unit of production (£)
(1) This is the figure for animals which would be kept for 12 months. In the case of animals kept for less than 12 months a pro-rata adjustment of this figure is to be made.
(2) This is the figure for animals (irrespective of age) which would be kept for 12 months. In the case of animals kept for less than 12 months a pro-rata adjustment of this figure is to be made.
1. Livestock
Dairy cows		cow	530
Beef breeding cows:	on land in a less favoured area	cow	-82
	on other land	cow	-39
Beef fattening cattle (semi-intensive)		head	40(1)
Dairy replacements		head	102(2)
Ewes:	on land in a less favoured area	ewe	-17
	on other land	ewe	-4
Store lambs (including ewe lambs sold as shearlings)		head	4.70
Pigs:	sows and gilts in pig	sow or gilt	220
	porker	head	7.50
	cutter	head	10.40
	bacon	head	13.10
Poultry:	laying hens	bird	3.20
	broilers	bird	0.50
	point-of-lay pullets	bird	0.30
Christmas turkeys		bird	4.70
2. Farm arable crops
Barley		hectare	127
Beans		hectare	290
Oilseed rape		hectare	242
Dried peas		hectare	100
Potatoes:	first early	hectare	1700
	maincrop (including seed)	hectare	3610
Sugar beet		hectare	750
Wheat		hectare	400
3. Outdoor horticultural crops and fruit
Orchard fruit		hectare	3100
Soft fruit		hectare	9780
4. Eligible hectares
Land which was in 2012, an eligible hectare for the purposes of Council Regulation 73/2009	severely disadvantaged land	hectare	82.01
	disadvantaged land	hectare	112.91
	all other land	hectare	82.07

EXPLANATORY NOTE

(This note is not part of the Order)

This Order prescribes units of production for the assessment of the productive capacity of agricultural land situated in Wales and sets out the amount which is to be regarded as the net annual income from each such unit for the year 12 September 2013 to 11 September 2014 for certain purposes of the Agricultural Holdings Act 1986 (“the 1986 Act”). This Order revokes the Agricultural Holdings (Units of Production) (Wales) Order 2012 (S.I. 2012/3022 (W.306)).

An assessment of the productive capacity of agricultural land is required in determining whether or not the land in question is a “commercial unit of agricultural land” for the purposes of the succession provisions in the 1986 Act: see in particular sections 36(3) and 50(2). A “commercial unit of agricultural land” is a unit of agricultural land which, when farmed under competent management, is capable of producing a net annual income which is not less than the aggregate of the average annual earnings of two full-time male agricultural workers aged 20 years or over (paragraph 3 of Schedule 6 to the 1986 Act). Article 2 of this Order provides that, in determining this annual income figure, whenever a particular farming use mentioned in column 1 of the Schedule is relevant to the assessment of the productive capacity of the land in question, the units of production and the net annual income specified in columns 2 and 3 respectively will form the basis of that assessment.

This Order includes net annual income figures for land which was, in 2012, an eligible hectare for the purposes of Council Regulation (EC) No 73/2009 (OJ No L 30, 31.1.2009, p.16). There are separate figures in the Schedule for severely disadvantaged land, disadvantaged land and other land.

A regulatory impact assessment has not been produced for this instrument as no impact on business or the private or voluntary sector is foreseen.

(1)

1986 c.5; section 96(1) of that Act defines “the Minister”.

(2)

Functions conferred under the Agricultural Holdings Act 1986 (c.5) were transferred to the National Assembly for Wales by article 2 of and Schedule 1 to the National Assembly for Wales (Transfer of Functions) Order 1999 (S.I. 1999/672). Those functions are now exercisable by the Welsh Ministers by virtue of section 162 of, and paragraph 30 of Schedule 11 to, the Government of Wales Act 2006 (c. 32).

(3)

OJ No L 30, 31.1.2009, p.16, last amended by Commission Implementing Regulation (EU) No 929/2013 (OJ No L 255, 27.9.2013, p.5).

(4)

S.I. 2012/3022 (W.306).