The type of agricultural projects eligible for a grant:
The types of agricultural projects eligible for a grant are outlined below, along with some examples of the projects that have received funding from the Southern Oxfordshire LEADER programme.
MODERNISATION OF AGRICULTURAL HOLDINGS
· improving crop storage in order to improve the quality of the product
Projects may include specialised storage and handling buildings, provision of ventilation, insulation and refrigeration. The key phrase here is ‘to improve the quality of the product'.
A local soft fruit farm have been awarded grant funding for a new cold store to remove field heat more efficiently.
Two local dairy farmers have applied for grant funding to improve the efficiency of their holdings, the projects include a slurry separation facility and heat exchange equipment for a milking parlour.
· alternative agriculture - diversification into non-food markets
For example; raw material energy products, bio energy crops, niche and novel crops and livestock.
A group of three farmers in West Kent have received a grant for their local LEADER programme of £30,000 to purchase lavender harvesting equipment, to produce lavender oil for the cosmetics industry. The farmers joined together to purchase the equipment to use on their own farms and to offer a harvesting service to other local farms.
· developing energy projects or small scale on farm renewable energy technologies
Projects may include bio-gas and anaerobic digestion from raw material used for heating and power generation, fitting of heating installations fuelled by wood products, installation of solar or photovoltaics, and the installation of hydro or wind turbines for power generation.
Applicants need to consider a LEADER grant application for energy projects as grant funding towards installation costs may jeopardise the availability of other incentives (such as Feed In Tariff & Renewables Obligation Certificates).
ADDING VALUE PROJECTS
· adding value to agricultural and or forestry products
Projects that add value to agricultural or forestry products and enable farm businesses to develop new routes to market. For example, processing equipment to allow direct sales from the farm, meat cutting and packaging facilities, or wood processing equipment to allow wood to be sold locally.
Adding value projects supported by the Southern Oxfordshire LEADER programme include:
· a grant of £15,000 to enable a farm business to purchase firewood processing equipment, resulting in increased sales to the local community
· a grant of £25,000 towards the installation of chilling equipment and insulation to accommodate a farm's expanding seasonal turkey and geese business near Abingdon
· A grant of £9,600 towards cider production equipment for a small holding near Wallingford to produce local cider
FARM DIVERSIFICATION PROJECTS
· to support farm diversification ventures that provide an alternative income source
Both new and existing farm diversification enterprises are eligible for support.
Example activities include retail enterprises and shops, recreation and tourism initiatives, manufacturing and service industries including self-made products, creative ventures such as artisan crafts, and environmental services including the traditional trades required to maintain and enhance the landscape.
The venture will need to outline its business case and be economically viable.
Farm Diversification projects supported by the Southern Oxfordshire programme include;
· a grant of £8,028 allowed a local farm shop to purchase a new refrigerated vehicle, which has enabled the business to provide a home delivery service
· a grant of £28,000 to a local small holder to establish a farm-shop and tearoom in Dorchester on Thames
· a grant of £27,000 to an arable and sheep farm to establish a new luxury camping tourism venture near Faringdon
· a grant of £15,000 to an established farm shop to develop a kitchen to expand their home produce range
Farm and Forestry Improvement Scheme (FFIS)
A £20 million fund to help rural businesses increase profits and reduce their impact on the environment administered by DEFRA, as part of the Rural Development Programme for England (RDPE).
Under the Farming and Forestry Improvement Scheme, all farmers, foresters, contractors and horticulturalists in England are invited to apply for grants of between £2,500 and £25,000. Funds will be allocated between now and December 2013. Grants will cover 40% of the total cost of projects.
Some grants are available to enable farmers to improve soil quality and reduce their use of artificial fertilisers through better use of farm slurries and manures. Others will help businesses to reduce or recover energy, saving money and reducing carbon dioxide emissions. Farmers, foresters and horticulturalists can apply for funding that will help them to save, recycle and reuse rainwater, or to improve the health and welfare of farm animals. Money will also be invested in new mechanical equipment to process timber more efficiently, giving land owners a financial incentive to manage woodland and improve biodiversity.
Click HERE to view more information on the FFIS objectives, the deadline for applications for the current round, and to read the fund's handbook.
Projects eligible for grant but seeking more than £25,000 can apply directly to the Southern Oxfordshire LEADER programme.
Rural Economy Grant
The DEFRA adminstered Rural Economy Grant scheme provides grants to enable a significant ‘game-changing', transformational performance in farm, forestry, tourism, agri-food businesses and micro businesses in rural areas in England.
The £60 million REG has been established in response to the findings of Defra's Rural Economy Growth Review (launched in November 2011), which through consultation and an in-depth analysis of a broad range of research, identified large grants (of £25,000 up to circa £1 million) are needed in key business sectors to unlock significant rural economic growth potential.
Project applications will need to demonstrate that as a result of a grant their business will achieve a significant step change in performance (such as job creation, increased turnover, access to new markets etc). The REG application process is competitive and those projects offering the greatest return on grant investment will be more likely to be successful.
Click HERE to view more information on the Rural Economy Grant scheme objectives, the application process and to read the fund's handbook.
If you would like to discuss a potential grant application please contact the LEADER Project Officer on 01491 823177 or info@southernoxfordshireleader.org.uk
Defra announce two schemes to support dairy industry, Published 11 December 12
As part of a scheme to boost industry collaboration and give farmers a greater voice in the marketplace, new rules are currently being compiled by Defra to allow English farmers to form producer organisations.
The plans on producer organisations are part of a six-week consultation on how to implement the European Union's Dairy Package in
The POs would allow farmers to negotiate with milk buyers as a group rather than as individuals, and together with the voluntary code of practice, offer the potential for producers to gain more influence over contract terms, conditions and prices.
A separate scheme, run through the Rural Development Programme for England (RDPE), will allow English dairy farmers to apply for £5 million-worth of grants to develop new market opportunities.
The main goal of the Dairy Fund is to support farmers who are looking to establish, develop or expand co-operatives which are looking to improve the profitability of its farmer members. The funded activity must strengthen the co-operative's connection with their market and enable it to explore and develop new market opportunities.
The scheme will allow industry stakeholders to apply for grants between the value of £25,000 and £1m. To qualify for the funding, the benefits of the activity must fall to multiple English dairy farm businesses.
Applicants are expected to fall into one of three categories:
Applications for funding will need to demonstrate the need for the amount of grants applied for and projects will have to comply with state aid regulations. In addition, successful applicants will be required to bankroll the project, with funding claimed retrospectively from RDPE once invoices are paid. Co-operatives will also need to show evidence of private funds to ensure the project is not solely reliant on public funds as the scheme allows groups to claim back money invested.
Key factors affecting applications will be how the projects will impact on the dairy sector and individual businesses and whether they present a good level of value for money.
More information can be found in the Dairy Fund Handbook and from the RDPE network website.
