Environment and Rural Affairs Department Agriculture Group

Transcription

1 Environment and Rural Affairs Department Agriculture Group To all interested Organisations in Scotland Pentland House 47 Robb s Loan Edinburgh EH14 1TY Telephone: Fax: Briancockwell@scotlandgsigovuk Our ref: SPP/2/2/8/30 14 June 2002 Dear Sir/Madam, FEES FOR SEED CERTIFICATION I am writing to consult you on a proposal to revise the Seeds (Fees) (Scotland) Regulations in respect of seed certification and its enforcement, seed testing and the supervision of licensed seed testing stations The proposal is to: increase fees for seed certification by 75%; increase fees for SASA Crop Inspectors and training courses and examinations by 10% ; (iii) increase fees for the SASA seed samplers training courses and examinations by 23%; (iv) increase fees for SASA seed testing training courses in the range of 10% to 26%; (v) reduce the annual Licensed Seed Testing Station fee from 2,03300 to 1,80000 Government policy is to recover fully the cost of the certification fees We are faced with a continual decline in the use of certified seed and we have no evidence that we will see an improvement in the next marketing year In accordance with Government policy a Regulatory Impact Assessment is attached From this, you will see we estimate that an average increase in the order of 40% would be necessary to achieve full cost recovery in Ministers have agreed that such a level of increase would be highly undesirable to the industry and its customers at the present time As this would be the first increase in certification fees since February 2000 it is therefore proposed that for this year, fees are increased as described above Details of the proposed fees are contained in the respective Schedules together with the current fee rates

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3 If you would like to comment on the fee proposals, or the Regulatory Impact Assessment please forward them in writing by post, fax, or by 30 August 2002 Responses should be sent to:- Ms Carol Scott Scottish Executive Rural Affairs Department Plants, Horticulture and Potatoes Branch Room 127 Pentland House 47 Robb s Loan EDINBURGH EH14 1TY Fax: / carolscott@scotlandgsigovuk In order to help inform debate on the questions covered by this consultation letter, the Department intends to follow its normal practice of making available to the public, on request, copies of the responses received The Department will assume, therefore, that responses can be made publicly available in this way If respondents indicate that they wish all, or part, of their reply excluded from this arrangement, its confidentiality will be strictly respected Copies of the responses made available to the public will be held on an open file held in the Library at Saughton House, Edinburgh Copies of documents from the open file will be forwarded to members of the public on request A charge will normally be levied to cover the cost of copying Yours sincerely Brian Cockwell Plants, Horticulture and Potatoes

4 DRAFT REGULATORY IMPACT ASSESSMENT Title of the regulatory proposal 1 Regulations to implement increases in statutory fees for seed certification, seed testing and enforcement in Scotland Purpose and intended effect of the proposal Identify the issue and objective 2 Seed certification is a Community requirement to ensure that farmers and growers receive seeds of a known minimum quality This is achieved in Scotland through marketing regulations which ensure that seeds of the main agricultural and vegetable species can be marketed only after being examined and certified as meeting specified minimum EC standards and as being derived from crops which have also met specific standards 3 Expenditure is subject to 100% recovery of costs The purpose of the Regulations is to introduce revised fees with effect from summer 2002 to enable the Scottish Agricultural Science Agency (SASA) to reduce the deficit in amount recovered by fees involved in the enforcement and administration of the seed certification system Risk Assessment 4 Without an increase in fees SASA would no longer be able to operate the system to the same level Failure to operate the seed certification system adequately could lead to a reduction in the standard of seed marketed in the UK, which could impact on farmers Furthermore, the UK could face a challenge from the EC for failing to effectively enforce European legislation on the marketing of seed if, in an attempt to reduce costs, it fails to sustain the requirements of the EC Directives Options Identify options 5 Two options have been identified: Option 1: keep the seed fees at 1999/2000 levels; or Option 2: increase the seed fees by 75% Issues of equity and fairness 6 Seed certification is an EC requirement that ensures that farmers and growers receive seeds of a minimum known quality The majority of costs are paid by applicants who benefit from the ability to market their produce on the basis of assured quality AMA

5 Benefits Identify the benefits 7 By increasing seed fees SASA will be able to continue its present level of seed certification and enforcement work This provides the minimum framework within which the seeds industry can operate effectively whilst ensuring that purchasers of seeds are afforded consumer protection Compliance costs for businesses, charities and voluntary organisations 8 The compliance costs covered by these Regulations relate to matters arising under the seeds registration, licensing and enforcement regulations and to matters arising under the marketing regulations for cereal seeds, fodder plant seeds, oil and fibre plant seeds, beet seeds and vegetable seeds Business sectors affected 9 The increase will affect 48 seed growers/processors (who last year certified 2476 samples) and 5 Licensed Seed Testing Stations, (with a through put of 1769 samples) Compliance costs for a typical business A typical licensed seed testing station 10 There are currently 5 Licensed Seed Testing Stations in Scotland whose throughputs of samples tested for statutory purposes vary from station to station LSTSs are free to set their own charges for the statutory and non-statutory services they provide but they are required to pay an annual licence fee in addition to a throughput fee for each statutory sample tested The following example relates to a middle-sized LSTS TESTING STATION A Assumption of samples tested Current fee rate ( 875) Proposed new fee rate ( 965) Cereal seeds 340 2,975 3,281 Fodder Plant seeds Beet seeds Oil and Fibre Plant seeds Vegetable seeds Sub Total 342 2, ,30030 Annual Licence Fee - 2, Total Compliance Cost - 5, ,10030 AMA

6 Station Recurrent Costs Non-Recurrent Costs +/- % Existing Rates New Rates Existing and New Rates A 5, , The proposed decrease in the annual licence fee, together with the increase in throughput fees, would increase the costs of this LSTS by 109 per annum A typical seed merchant 11 It is difficult to identify a typical business in the seed sector as companies differ in terms of the crop species in which they deal, their overall size, and the activities in which they are engaged Representative profiles for large, medium and small seed companies are shown below Company Recurrent Costs Non-Recurrent Costs Existing Rates Proposed New Rates (75% increase) Existing and Reduced Rates A 15, , B 2, , C A more detailed breakdown of these assumptions and statutory fee costs is attached at Appendix 1 Total compliance cost 13 A total compliance cost is not available, as SASA does not collect financial data relating to production costs in the seed sector However, in so far as the cost of statutory fees represents about 2% of the overall cost of seed, the proposed increases will add a further 01% to overall costs 14 To break even a 30 % increase would need to be applied whereas a 75% increase would leave a shortfall of 58k Impact on small business 15 The effect of the proposed increase on small businesses will be proportionate to their throughput except for the annual licence fee for seed testing stations where the decrease amounts to 233 per annum AMA

7 Other costs 16 There will be no additional costs to citizens, the environment or Government Results of the consultation 17 To be added when consultations are complete Recommendations 18 To be added when consultations are complete Enforcement, sanctions, monitoring and review 19 The Scottish Agricultural Science Agency carries out the collection of fees for seed certification and seed testing in Scotland The income levels and fee rates are monitored and reviewed annually Contact Brian Cockwell SEERAD, Plants and Environment Policy Division Room 125, Pentland House, 47 Robb s Loan, Edinburgh, EH14 1TY Telephone Fax /6509 briancockwell@scotlandgsigovuk AMA

8 PROFILE OF SEED MERCHANTS IN SCOTLAND APPENDIX 1 75% Increase Merchant A The representative data used below makes the following assumptions: Throughput: 397 Cereal Seed Lots were entered for Certification 1352 Hectares of Crops were entered for Certification Using the assumptions above, the existing statutory fees give the following costs: CEREALS existing fee Total Proposed 75% New Total Increase Crop Fee s 1352 ha x ha x Seed Lot Fee Re-entry Fee 397 seed lots x seed lots x seed lots x seed lots x TOTAL ,93740 HERBAGE Initial Fee Seed Lot Fee Nil TOTAL TOTAL COST OF STATUTORY FEES ,93740 AMA

9 Merchant B The representative data used below makes the following assumptions: Throughput: 21 Cereal Seed Lots and 10 Herbage Seed Lots were entered for Certification 154 Hectares of Cereal Crops and 80 Hectares of Herbage were entered for Certification Using the assumptions above, the existing statutory fees give the following costs: CEREALS existing fee Total Proposed 75% New Total Increase Crop Fee s 154 ha x ha x Seed Lot Fee Re-entry Fee 21 seed lots x seed lot x seed lots x seed lots x TOTAL HERBAGE Initial Fee 80 ha x ha x Seed Lot Fee 10 seed lots x seed lots x TOTAL ,42000 TOTAL COST OF STATUTORY FEES ,80170 AMA

10 Merchant C The representative data used below makes the following assumptions: Throughput: 10 Cereal Seed Lots were entered for Certification 58 Hectares of Crops were entered for Certification Using the assumptions above, the existing statutory fees give the following costs: CEREALS existing fee Total Proposed 75% New Total Increase Crop Fee s 58 ha x ha x Seed Lot Fee Re-entry Fee 10 seed lots x seed lots x seed lots x seed lots x TOTAL HERBAGE Initial Fee Seed Lot Fee Nil Nil TOTAL TOTAL COST OF STATUTORY FEES * Revised fee levels are based on a uniform increase of 75% applied to all fees rounded to the nearest 10 pence AMA

11 ANNEX SCHEDULE 1 THE CEREAL SEEDS FEES (1) (2) (3) Old Fee New Matter Fee A Initial fees Initial fee per hectare or part thereof for crops intended to produce: - pre basic or basic seed certified seed, certified seed of the first generation of wheat, durum wheat, spelt wheat, barley, triticale and oats or certified seed of rye and maize (iii) certified seed of the second generation of wheat, durum wheat, spelt wheat, barley and oats Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant subject to payment of a reduced fee of 250 per hectare to cover administration costs B Crop inspection fees Fee for official examination of crops intended to produce pre basic, basic, certified seed, or certified seed of the first generation and certified seed of the second generation per hectare or part thereof examined Fee for official examination or re-examination of crops intended to produce pre basic, basic, certified seed, or certified seed of the first generation and certified seed of the second generation per hectare or part thereof examined, except: Fee for the official re examination of crops for wild oats per hectare or part thereof examined Fee for the official re examination of crops for isolation per hectare or part thereof (iii) Fee per crop to authenticate seed lot sown, (where this has not been carried out at crop inspection) AMA

12 SCHEDULE 1 (cont) B Crop inspection fees cont Fee for official examination or re-examination of crops produced from seed of a variety entered for, but not added to the National List (or to the equivalent list in another Member State) intended to produce pre basic, basic or certified seed, certified seed of the first generation and certified seed of the second generation per hectare or part thereof examined Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant in full C Seed lot fee Fee for the issue of an official certificate (other than in the circumstances described under F below) in respect of a seed lot entered as:- breeder's, pre basic or basic seed, certified seed, certified seed of the first generation of wheat, durum wheat, spelt wheat, barley, triticale, oats or certified seed of rye and maize certified seed of the second generation of wheat, durum wheat, spelt wheat, barley and oats D Seed lot re entry fee Fee for the issue of an official certificate in respect of a seed lot which was entered for one category and has been withdrawn and is being re entered as:- pre basic or basic seed, certified seed, certified seed of the first generation of wheat, durum wheat, spelt wheat, barley, triticale and oats or certified seed of rye and maize certified seed of the second generation of wheat, durum wheat, spelt wheat, barley and oats E Sampling fees Fee for sampling or re sampling of a seed lot for the purposes of an official examination, and for sampling or re sampling imported seed intended for further multiplication AMA

13 SCHEDULE 1 (cont) F Seed testing fees Fee for an official examination of seed for loose smut infection of wheat, durum wheat, spelt wheat and barley (per thousand embryos examined) G Fees for additional tests Fee for a Tetrazolium seed viability test in C1 Winter Wheat and C1 Winter Barley H Official label fees Additional fee for the issue and printing of official labels:- tear resistant labels for breeders seed, pre basic and seed for export; per seed lot self adhesive labels for breeders seed, pre basic and seed for export; per seed lot AMA

14 SCHEDULE 2 THE FODDER PLANT SEEDS FEES (1) (2) (3) Old New Matter Fee Fee A Initial fees Initial fee per hectare or part thereof for crops intended to produce:- pre basic or basic seed of (a) grasses, legumes (except field beans and field peas) and crucifers (b) field beans and field peas certified seed of grasses, legumes (except field beans, field peas, white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne) and crucifers (iii) certified seed of the first and second generation of field beans and field peas (iv) certified seed of the first generation of white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch and lucerne Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant subject to payment of a reduced fee of 250 per hectare to cover administration costs B Crop inspection fee Fee for official examination or re-examination of crops intended to produce pre-basic, basic or certified seed per hectare or part thereof examined (including crops of hybrid swede rape and hybrid turnip rape) AMA

15 SCHEDULE 2 (Cont) B Crop inspection fee cont Fee for official examination or re-examination of crops produced from seed of a variety entered for but not added to the National List (or to the equivalent list in another Member State) intended to produce certified seed of grasses, legumes, (except field beans, field peas, white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne) and crucifers or certified seed of the first generation and certified seed of the second generation of field beans and field peas or certified seed of the first generation of white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne per hectare or part thereof examined (iii) Fee for official examination or re-examination of certified seed of Scots Timothy crops per hectare or part thereof examined (iv) Fee for the official examination or re-examination of certified seed of the first and second generation of field beans and peas Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant in full C Seed lot fee Fee for the issue of an official certificate (other than in the circumstances described under D below) in respect of a seed lot entered as:- breeder's seed of (a) grasses, legumes (except field beans and field peas) and crucifers (b) field beans and field peas pre-basic or basic seed of (a) grasses, legumes (except field beans and field peas) and crucifers (b) field beans and field peas AMA

16 SCHEDULE 2 (Cont) (iii) certified seed of grasses, legumes (except field beans, field peas, white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne) and crucifers (iv) certified seed of the first and second generation of field beans and field peas (iva) certified seed of the first generation of white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne (v) commercial seed of the kinds for the time being specified in regulation 3(3) of the Fodder Plant Seeds Regulations D Seed lot re-entry fee Fee for the issue of an official certificate in respect of a seed lot which was entered for one category and has been withdrawn and is being re-entered as:- pre-basic or basic seed of (a) grasses, legumes (except field beans and field peas) and crucifers (b) field beans and peas certified seed of grasses, legumes (except field beans, field peas, white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne) and crucifers (iii) certified seed of the first and second generation of field beans and peas (iiia) certified seed of the first generation of white lupin, narrow-leaved lupin (blue lupin), yellow lupin, Hungarian vetch, common vetch, hairy vetch, and lucerne (iv) commercial seed of the kinds for the time being specified in regulation 3(3) of the Fodder Plant Seeds Regulations AMA

17 SCHEDULE 2 (Cont) E Sampling fees Fee for sampling or re-sampling of a seed lot for the purposes of an official examination and for sampling or re-sampling imported seed intended for further multiplication F Official label fees Additional fee for the issue and printing of official labels:- tear-resistant labels for breeders seed, pre-basic and seed for export; per seed lot self adhesive labels for breeders seed, pre-basic and seed for export; per seed lot AMA

18 SCHEDULE 3 THE OIL AND FIBRE PLANT SEEDS FEES (1) (2) (3) Old New Matter Fee Fee A Initial fees Initial fee per hectare or part thereof for crops intended to produce:- pre-basic or basic seed all other categories of seed Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant subject to payment of a reduced fee of 250 per half-hectare to cover administration costs B Crop inspection fee Fee for official examination or re-examination of crops intended to produce pre-basic, basic or certified seed of the first, second or third generation per hectare or part thereof examined Fee for official examination or re-examination of crops produced from seed of a variety entered for but not added to the National List (or to the equivalent list in another Member State) intended to produce certified seed, certified seed of the first generation, certified seed of the second generation, or certified seed of the third generation, per hectare or part thereof examined Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant in full AMA

19 SCHEDULE 3 (cont) C Seed lot fee Fee for the issue of an official certificate (other than in the circumstances described under E below) in respect of a seed lot entered as:- breeders, pre-basic or basic seed all other categories of seed D Seed lot re-entry fee Fee for the issue of an official certificate in respect of a seed lot which was entered for one category and has been withdrawn and is being re-entered in any category E Sampling fees Fee for sampling or re-sampling of a seed lot for the purposes of an official examination and for sampling or re-sampling imported seed intended for further multiplication F Seed testing fees Fees for an official examination of seed for:- sunflower for Botrytis spp flax and linseed for:- (a) Alternaria spp (b) Phoma exiqua var linicola (c) Colletotrichum lini (d) Fusarium spp (e) Botrytis spp (iii) soya bean for Pseudomonas syringae pv glycinea spp for:- (a) for one sub-sample test (b) for five sub-sample tests (iv) soya bean for Diaporthe phaselorum spp AMA

20 SCHEDULE 3 (cont) G Official label fees Additional fee for the issue and printing of official labels:- tear-resistant labels for breeders seed, pre-basic and seed for export; per seed lot self adhesive labels for breeders seed, pre-basic and seed for export; per seed lot AMA

21 SCHEDULE 4 THE BEET SEEDS FEES (1) (2) (3) Old Fee New Matter Fees A Initial fees Initial fee per hectare or part thereof for crops intended to produce:- pre-basic or basic seed certified seed Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant subject to payment of a reduced fee of 250 per half-hectare to cover administration costs B Crop inspection fee Fee for official examination or re-examination of crops intended to produce pre-basic, basic or certified seed per hectare or part thereof examined Fee for official examination or re-examination of crops produced from seed of a variety entered for but not added to the National List (or to the equivalent list in another Member State) intended to produce certified seed, per hectare or part thereof examined Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant in full C Seed lot fee Fee for the issue of an official certificate (other than in the circumstances described under D below) in respect of a seed lot entered as:- pre-basic or basic seed certified seed AMA

22 SCHEDULE 4 (cont) D Seed lot re-entry fee Fee for the issue of an official certificate in respect of a seed lot which was entered for one category and has been withdrawn and is being reentered as: pre-basic or basic seed certified seed E Sampling fees Fee for sampling or re-sampling of a seed lot for the purpose of an official examination and for sampling or re-sampling imported seed intended for further multiplication F Official label fees Additional fee for the issue and printing of official labels:- tear-resistant labels for breeders seed, pre-basic and seed for export; per seed lot self adhesive labels for breeders seed, pre-basic and seed for export; per seed lot AMA

23 SCHEDULE 5 THE VEGETABLE SEEDS FEES (1) (2) (3) Old Fee New Matter Fee A Initial fees Initial fee for crops intended to produce:- pre-basic or basic seed of (a) all kinds, except peas, broad beans, cucumber, gherkin and tomato, per hectare or part thereof entered (b) peas and broad beans per hectare or part thereof entered (c) cucumber, gherkin and tomato, per crop entered certified seed of (a) all kinds, except peas, broad beans, cucumber, gherkin and tomato, per hectare or part thereof entered (b) peas and broad beans per hectare or part thereof entered (c) cucumber, gherkin and tomato, per crop entered Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant subject to payment of a reduced fee of 250 per half-hectare to cover administration costs B Crop inspection fee Fee for official examination or re-examination of crops intended to produce: A(a) or (b) above, per hectare or part thereof examined A(c) above, per crop examined AMA

24 SCHEDULE 5 (cont) Fee for official examination or re-examination of crops produced from seed of a variety entered for but not added to the National List (or to the equivalent list in another Member State) intended to produce A(a) or (b) above, per hectare or part thereof examined A(c) above, per crop examined Provided that, if the application for entry of crops is withdrawn before arrangements are made for the purpose of inspecting the crop for the first time, the fee paid will be refunded to the applicant in full C Seed lot fee Fee for the issue of an official certificate (other than in the circumstances described under D below) in respect of a seed lot entered D Seed lot re-entry fee Fee for the issue of an official certificate in respect of a seed lot which was entered for one category and has been withdrawn and is being reentered in any category E Sampling fees Fee for sampling or re-sampling of a seed lot for the purposes of an official examination and for sampling or re-sampling imported seed intended for further multiplication F Official label fees Additional fee for the issue and printing of official labels:- tear-resistant labels for breeders seed, pre-basic and seed for export; per seed lot self adhesive labels for breeders seed, pre-basic and seed for export; per seed lot AMA

25 SCHEDULE 6 THE SEEDS (REGISTRATION, LICENSING AND ENFORCEMENT) FEES (1) (2) (2) (3) Old Fee New Matter When payable Fee A Representations by, and hearings of, a seed merchant, processor or packer Fee for making written representations to the Scottish Ministers On making representations Fee for being heard by a person appointed by the Scottish Ministers On applying to be heard B Licensed Seed Testing Stations Annual fee payable during the currency of the licence (or a proportion thereof in respect of a part of a year) Within one month of demand by or on behalf of the Scottish Ministers, annually in advance 2, ,80000 Fee payable by a Licensed Seed Testing Station in respect of an official examination of seed Within one month of demand by or on behalf of the Scottish Ministers, annually in arrears C Crop Inspection Courses and Examination Fee for:- crop inspection course Fee payable within one month of demand by or on behalf of the Scottish Ministers initial examination and compulsory retests D Seed Sampling Course and Examination Fee for:- tuition and examination for seed samplers licence (administrative and sampling elements) Fee payable within one month of demand by or on behalf of the Scottish Ministers tuition and examination for seed samplers licence (administrative elements only) AMA

26 E Seed Analyst Course and Examination SCHEDULE 6 (cont) Fee for:- Laboratory Management Course Registration Fee payable within one month of demand by or on behalf of the Scottish Ministers Laboratory Management Course Daily Attendance (iii) Analyst Course Registration 1, ,20000 (iv) Analyst Course additional and retake divisions (per division) (v) Analyst Course daily attendance AMA