Inspection service NAK is preparing for new European legislation on the certification of starting material. This will entail a cost increase that the foundation is already charging in its rates.
On January 14, the NAK kicked off the annual series of winter meetings for farmers. An online webinar was held beforehand. General manager Jan Duijssens and operational manager Nancy Rietbroek explained the status of the inspection service and the consequences of the regulations in the field of Plant reproductive material (PRM), which the European Commission will introduce in 2027.
Towards black figures
This will result in rates increasing in 2025. As of 1 May, the NAK will implement an 8% increase. This is in addition to the 9% increase last year and 5% in 2023. In 2027, the NAK wants to be back in the black. Last year, turnover amounted to €26,65 million and the net result was -€1,35 million. For this year, the inspection service assumes a turnover of €28 million and a net result of -€1 million. Duijssens speaks of 'renovating with the shop open' in order to be able to work budget-neutrally again.
NAK cannot avoid another rate increase, according to Rietbroek. "We have a moving train to maintain and we are careful with our people. There are costs involved." An obstacle to achieving a positive result is, for example, the control of phytophthora. "NAK is commissioned by the NVWA to control this in the field. Together with BO Akkerbouw, the budget for this is set in advance and that was - certainly last year - not sufficient. We would like to employ extra people, but the budget is an obstacle here."
NAK app
The inspection service is working on process optimization in various areas. For example, ordering inspection certificates should become more user-friendly for the farmer. A NAK app should be up and running in the foreseeable future. "We are lagging behind with the IT stuff we have," says Duijssens. "That requires investments."
In Europe, the introduction of the PRM regulation will cost the sector money anyway. The European Commission assumes €400 million per year for breeders and growers, €6 million for the breeding sector and €98 million for the authorities. In the new PRM legislation, specific regulations for plant groups are lumped together. LTO, among others, fears that this will have too general a effect, which will certainly have a negative effect on specific crops. The Commission itself assumes 3% to 10% fewer variety registrations as a result of the new law.
The new law should improve the safety of starting material and prevent the spread of diseases and pests. NAK sees a permanent important role for the well-known NAK certificate, which is recognized worldwide for its reliability.