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The opening of the phosphate bank is delayed

31 October 2018 - Wouter Baan - 5 comments

The opening of the phosphate bank has been postponed. In a letter to parliament, Minister Schouten of Agriculture, Nature and Food Quality (LNV) announces that the opening will not take place until mid-2019 at the earliest.

De phosphate bank must give the group of young land-bound farmers and the group of land-bound dairy farmers the opportunity to grow through an exemption from the phosphate rights. Schouten announced at an earlier stage that the phosphate bank would remain closed until November 1 anyway. Now that has been postponed again to mid-2019.

Handling objections
In a joint motion, Jaco Geurts (CDA) and Helma Lodders (VVD) have requested the minister to only open the phosphate bank after all objections to the (un)allocated phosphate rights have been settled. Schouten is now responding to that call. The minister expects to complete the majority of the objections submitted before the turn of the year.

A number of dairy farmers believe that the burden is disproportionate. In accordance with the decision of the Trade and Industry Appeals Tribunal (CBb), Schouten must extensively review these objections, which means that not all objections have been completed before 2019.

Exemption space not in the picture
The space in the phosphate bank depends on the 10% creaming off from the traded (purchase and/or lease) phosphate rights. It is not yet known how many kilograms of phosphate this is. It is expected that the necessary transactions will take place towards the turn of the year, which will increase the creaming pot.

At the same time, it is unknown whether Schouten should allocate additional phosphate rights to the bottlenecks. This makes it risky for Minister Schouten to open the phosphate bank before the scope for exemption has been identified.

Final lease settlement
In the same letter to Parliament, she definitively puts an end to the exemption from creaming (10%) in the case of lease. According to Schouten, this is not possible without a change in the law; Geurts suggested (through a motion) that Article 38 of the Fertilizers Act might provide openings. Schouten then called in the assistance of the state attorney, but that did not yield any other insights.

Click here to read the letter to parliament.

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Wouter Job

Wouter Baan is editor-in-chief of Boerenbusiness. He also focuses on dairy, pig and meat markets. He also follows (business) developments within agribusiness and interviews CEOs and policymakers.
Comments
5 comments
Subscriber
Jan 31 October 2018
This is in response to it Boerenbusiness article:
[url=http://www.boerenbusiness.nl/melk/artikel/10880372/openstelling-phosphatebank-laat-op-zich-wachten]The opening of the phosphate bank is delayed[/url]
Sad, but understandable
ground-bound youngster 31 October 2018
And again the land-based companies, which are not to blame, are the loser.
I have been waiting for a year for the phosphate bank to open, because this is the only way to realize the much-needed further development of my company.
Subscriber
Paul 31 October 2018
ground-bound youngster wrote:
And again the land-based companies, which are not to blame, are the loser.
I have been waiting for a year for the phosphate bank to open, because this is the only way to realize the much-needed further development of my company.
good luck then, chances are not very big that this will work.

as well as our situation in which we supplied cows a few days late with a permit and financing from the end of 2013
hans 31 October 2018
Just refuse all cattle manure from "colleagues" for a year, expensive manure will then make many an intensive company decide whether to sell P or to stop. There is no future for all, for more milk, so take the fight. They receive support from the min. via rules (determined by RABO), so ground-based support for each other.
peter 1 November 2018
agree with Hans. land-bound farmers should not purchase cattle manure from intensive colleagues!!!!
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