Not 20 percent shrinkage, but 12 percent shrinkage. That is the aim for the third period in the 2017 Phosphate Reduction Regulation. This is a reward for the good results achieved in phosphate reduction. This concerns the decrease compared to the number of LUs on 1 October 2016.
In a letter to the House of Representatives, outgoing State Secretary Van Dam says that the target for the third period, July and August, has been lowered. The sector does not need to shrink the aforementioned 20 percent, but instead the target is 12 percent. 'The ambition is to maintain this percentage for the rest of the year.'
In the first period, the target was a contraction of 5 percent. Until June, the target is a decrease of 10 percent. This means that a contraction of 2 percent still has to be achieved in July and August. The levy for March and April 26 can be viewed via the ZuivelNL portal from 2017 May. 'A few days later, all dairy farmers will also receive the decision by letter.' The settlement takes place via the milk money. Unlike during the milk quota, this can be more than 50 percent of the milk money. If the levy exceeds the milk money, a cut again a month later.
Provided there are no setbacks
However, Martijn van Dam also indicates that if the decline is disappointing later in the year, the percentage reductions for the last periods will be adjusted again. To determine the percentage, Van Dam has consulted with the dairy industry, the animal feed industry and Rabobank. The aim is a reduction of 8,2 million kilograms of phosphate, of which 6,6 million kilograms is really needed. The sector is on track to achieve a decrease of 8,2 million kilograms.
Young stock
Not only did the sector make agreements with State Secretary Martijn van Dam about the reduction, but agreements have also been made about an alternative interpretation of the young stock plan† 'The effect this measure has on a certain group of dairy farmers has been underestimated by those involved.'
The measure was intended to prevent dairy farmers from evading the scheme by relocation to other locations. However, the introduction of one reference date, 28 April 2017, caused the necessary problems in the operational management of dairy farmers.
At present, female young stock that is older than 35 days and that has not yet calved will be excluded from the scheme. This only applies to removal for export, slaughter or after death. Calves up to 35 days old that leave for a Dutch UBN company are also removed from the scheme. Wageningen calculated that the changes will make the scheme less effective, but this has been included in the third discount percentage.
An update in July
Statistics Netherlands will publish a new quarterly update on phosphate reduction in July. If more is needed to achieve the goals, Van Dam will, for example, look at tightening the feed track.
Meanwhile, the number of slaughters in week 18 and week 19 shows a sharp decrease. Current figures are still missing. It was also known that the export came to a halt on April 28. This meant that the adjustment of the scheme unintentionally put a brake on phosphate reduction.
At the same time, Van Dam indicated in the debate with the Senate that the total phosphate ceiling of Dutch livestock farming counts for the nitrates directive. The sector ceilings only apply to the Netherlands. Against this background, it is good news that pig farmers will also start with the feed track.
look at it dossier on the Phosphate Reduction Regulation 2017
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