Statutory Instruments
1997 No. 1962

LANDLORD AND TENANT ENGLAND AND WALES
The Agricultural Holdings (Units of Production) Order 1997

Made
4th August 1997

Laid before Parliament
7th August 1997

Coming into force
12th September 1997

The Minister of Agriculture, Fisheries and Food in relation to England and the Secretary of State in relation to Wales, in exercise of the powers conferred on them by paragraph 4 of Schedule 6 to the Agricultural Holdings Act 1986(1), and of all other powers enabling them in that behalf, hereby make the following Order:—

Title, commencement and interpretation

1.—(1) This Order may be cited as the Agricultural Holdings (Units of Production) Order 1997 and shall come into force on 12th September 1997.

(2) Any reference in this Order to “the Schedule” is a reference to the Schedule to this Order.

(3) Any reference in this Order to a Community instrument is a reference to that instrument and any amendment of such instrument as may exist on the date this Order is made.

(4) In this Order:

“Council Regulation 805/68” means Council Regulation (EEC) No. 805/68 on the common organisation of the market in beef and veal(2);

“Council Regulation 3013/89” means Council Regulation (EEC) No. 3013/89 on the common organization of the market in sheepmeat and goatmeat(3);

“Council Regulation 1765/92” means Council Regulation (EEC) No. 1765/92 establishing a support system for producers of certain arable crops(4).

Assessment of productive capacity of land

2.—(1) Paragraph (2) of this article has effect for the purpose of the assessment of the productive capacity of a unit of agricultural land, in order to determine whether that unit is a commercial unit of agricultural land within the meaning of subparagraph (1) of paragraph 3 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, crop, fruit, etc. or as set-aside land, as is mentioned in any of the entries 1 to 8 in column 1 of the Schedule, then—

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

(b)the amount determined, for the period of 12 months beginning with 12th September 1997, as the net annual income from that unit of production in that period shall be the amount specified in column 3 of the Schedule opposite that unit of production.

(3) The Schedule has effect subject to the Notes to the Schedule.

Revocation

3.  The Agricultural Holdings (Units of Production) Order 1996(5) is revoked.

Elliot Morley
Parliamentary Secretary, Ministry of Agriculture, Fisheries and Food
28th July 1997

Signed by authority of the Secretary of State for Wales

Win Griffiths
Parliamentary Under Secretary of State, Welsh Office
4th August 1997

Articles 1(2) and 2

SCHEDULEPRESCRIBED UNITS OF PRODUCTION AND DETERMINATION OF NET ANNUAL INCOME

Column 1
Column 2
Column 3

Farming use
Unit of production
Net annual income from unit of production

£

NOTES TO THE SCHEDULE
Article 2(3)
Note to column 1

(1)
This refers to land which is set-aside under Article 2(5) of Council Regulation 1765/92, except where such land is used (in accordance with Article 7(4) of Council Regulation 1765/92) for the provision of materials for the manufacture within the Community of products not primarily intended for human or animal consumption.

Notes to column 3

(1)
Deduct £117 from this figure in the case of animals for which the net annual income does not include a sum in respect of the premium for maintaining suckler cows (suckler cow premium) provided for in Article 4d of Council Regulation 805/68.

Add £29 to the figure in column 3 in the case of animals for which the net annual income includes a sum in respect of the lower rate of extensification premium provided for in Article 4h of Council Regulation 805/68.

Add £42 to the figure in column 3 in the case of animals for which the net annual income includes a sum in respect of the higher rate of extensification premium provided for in Article 4h of Council Regulation 805/68.

(2)
This is the figure for animals which are kept for 12 months.

Deduct £107 in the case of animals which are kept for 12 months and for which the net annual income does not include a sum in respect of the special premium for holding male bovine animals (beef special premium) provided for in Article 4b of Council Regulation 805/68.

Add £29 to the figure in column 3 in the case of animals which are kept for 12 months and for which the net annual income includes a sum in respect of the lower rate of extensification premium.

Add £42 to the figure in column 3 in the case of animals which would be kept for that period and for which the net annual income includes a sum in respect of the higher rate of extensification premium.

In the case of animals which are kept for less than 12 months and for which the net annual income does not include a sum in respect of beef special premium, the net annual income is to be calculated by deducting £107 from the figure in column 3 and then making a pro rata adjustment of the resulting figure.

In the case of animals which are kept for less than 12 months and for which the net annual income includes a sum in respect of beef special premium, the net annual income is to be calculated by first deducting £107 from the figure in column 3, then making a pro rata adjustment of the resulting figure, then adding to that figure the sum of £107 and (where the net annual income includes a sum in respect of extensification premium) the sum of £29 (where the extensification premium is paid at the lower rate) or £42 (where the extensification premium is paid at the higher rate).

(3)
This indicates the figure for animals (irrespective of age) which are kept for 12 months. In the case of animals which are kept for less than 12 months a pro rata adjustment of this figure is to be made.

(4)
Deduct £19 from this figure in the case of animals for which the net annual income does not include a sum in respect of the premium for offsetting income loss sustained by sheep meat producers (sheep annual premium) provided for in Article 5 of Council Regulation 3013/89.

(5)
Deduct £13 from this figure in the case of animals for which the net annual income does not include a sum in respect of sheep annual premium.

(6)
Deduct £256 from this figure in the case of land for which the net annual income does not include a sum in respect of the compensatory payment for which producers of arable crops may apply (area payment) provided for in Article 2 of Council Regulation 1765/92.

(7)
Deduct £371 from this figure in the case of land for which the net annual income does not include a sum in respect of area payment.

(8)
Deduct £497 from this figure in the case of land for which the net annual income does not include a sum in respect of area payment.

(9)
Deduct £256 from this figure in the case of land for which the net annual income does not include a sum in respect of area payment.

(10)
Deduct £432 from this figure in the case of land for which the net annual income does not include a sum in respect of area payment.

(11)
Deduct £371 from this figure in the case of land for which the net annual income does not include a sum in respect of area payment.

(12)
Deduct £257 from this figure in the case of land for which the net annual income does not include a sum in respect of area payment.

1. Livestock
Dairy cows:

Channel Islands breeds

cow
289

Other breeds

cow
345

Beef breeding cows:

On eligible land under the Hill Livestock (Compensatory Allowances) Regulations 1996(6)

cow
60(1)

On other land

cow
45(1)

Beef fattening cattle (semi-intensive)
head
83(2)

Dairy replacements
head
77(3)

Ewes:

On eligible land under the Hill Livestock (Compensatory Allowances) Regulations 1996

ewe
25(4)

On other land

ewe
23(5)

Store lambs (including ewe lambs sold as shearlings)
head
2.05

Pigs:

Sows and gilts in pig

sow or gilt
153

Porker

head
3.78

Cutter

head
6.73

Bacon

head
9.10

Poultry:

Laying hens

bird
1.80

Broilers

bird
0.22

Point-of-lay pullets

bird
0.43

Turkeys

bird
1.93

2. Farm arable crops

Barley
hectare
396(6)

Beans
hectare
153(7)

Herbage seed
hectare
270

Linseed
hectare
241(8)

Oats
hectare
330(9)

Oilseed rape
hectare
382(10)

Peas:

Dried

hectare
197(11)

Vining

hectare
290

Potatoes:

First early

hectare
1204

Maincrop (including seed)

hectare
1124

Sugar Beet
hectare
533

Wheat
hectare
438(12)

3. Set-aside(1)

hectare
83

4. Outdoor horticultural crops

Broad beans
hectare
478

Brussels sprouts
hectare
1287

Cabbage, savoys and sprouting broccoli
hectare
1531

Carrots
hectare
2146

Cauli|fl|ower and winter broccoli
hectare
1050

Celery
hectare
4390

Leeks
hectare
3112

Lettuce
hectare
3444

Onions:

Dry bulb

hectare
1851

Salad

hectare
4000

Outdoor bulbs
hectare
1919

Parsnips
hectare
2124

Rhubarb (natural)
hectare
2807

Turnips and swedes
hectare
1183

5. Protected crops

Forced narcissi
1000 square metres
8400

Forced tulips
1000 square metres
6471

Mushrooms
1000 square metres
11861

6. Orchard fruit
Apples:

Cider

hectare
531

Cooking

hectare
1265

Dessert

hectare
1350

Cherries
hectare
1403

Pears
hectare
1058

Plums
hectare
981

7. Soft fruit

Blackcurrants
hectare
1025

Gooseberries
hectare
1586

Raspberries
hectare
2892

Strawberries
hectare
2833

8. Miscellaneous

Hops
hectare
2100

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 and sets out the amount which is to be regarded as the net annual income from each such unit for the year 12th September 1997 to 11th September 1998 inclusive. This Order supersedes the Agricultural Holdings (Units of Production) Order 1996 (S.I. 1996/2163).
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 Agricultural Holdings Act 1986 (“the 1986 Act”): see in particular sections 36(3) and 50(2). A “commercial unit of agricultural land” is 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). In determining this annual income figure, neither the system of farming carried out on a particular holding nor historical data from that holding will necessarily be used. Instead, whenever a particular farming use mentioned in column 1 of the Schedule to this Order is relevant to this determination, the units of production and the net annual income specified in columns 2 and 3 respectively will form the basis of the assessment of the productive capacity of the land in question.
The net annual income figures in column 3 of the Schedule specify the net annual income from one unit of production. In some cases the net annual income is derived from a unit which will be on the land for the full twelve-month period. In other cases the net annual income is derived from a unit which will be on the land for only part of the year, and there may be more than one production cycle in the twelve-month period. The assessment of the productive capacity of the land will take account of the total production in the course of a year.


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

(2)
OJ No. L148, 28.6.68, p. 24 (OJ/SE 1968 (I) p.187) as last amended by Council Regulation (EC) No. 2222/96 (OJ No. L296, 21.11.96, p.50).

(3)
OJ No. L289, 7.10.89, p. 1, as last amended by Council Regulation (EC) No. 1589/96 (OJ No. L206, 16.8.96, p.25).

(4)
OJ No. L181, 1.7.92, p.12, as last amended by Council Regulation (EC) No. 1598/96 (OJ No. L206, 16.8.96, p.41).

(5)
S.I. 1996/2163.

(6)
S.I. 1996/1500, as amended by S.I. 1997/33.