The beef farmers who have run into problems due to the incorrect allocation of phosphate rights will not receive an interim injunction. The Trade and Industry Appeals Tribunal (CBb) made this decision on Monday 12 November with regard to 4 applications from beef cattle farmers.
The beef farmers were awarded phosphate rights for their young beef cattle at the beginning of 2018, but that grant was later declared invalid. They had to hand in the rights again. As a result, they got into trouble, because the rights had already been traded in 3 applicants. The fourth applicant has divested the beef cattle sector and subsequently moved on to dairy cattle, for which phosphate rights are required.
Time to anticipate
However, the request to the preliminary relief judge for a preliminary injunction was rejected. As a result, the entrepreneurs run the risk of violating the Fertilizers Act and they also risk an economic offence. According to the judge, the entrepreneurs can still anticipate the situation by buying extra phosphate rights or removing livestock. They have until the end of this year to do so.
Moreover, the requested suspension of the decision is only temporary and therefore does not change the risk that the entrepreneurs take by not adjusting their business operations. A procedure on the merits will be started, in which the allocation of the phosphate rights will be tested for legality.
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