Revamp of quota rules opens up big opportunities
Published 18/01/2012 | 06:00
New interpretations of the milk quota regulations are set to open up a range of options for farmers looking to come together to form dairy partnerships within a corporate structure.
Up to now, it was assumed that unrelated farmers could not come together to form a company structure for the purpose of pooling milk quota and land. In contrast to the restrictive rules governing milk production partnerships (MPP), farmers involved in a company structure will not be required to put all of their holding into the arrangement. In addition, farmer shareholders will only need to commit their land and quota to the company for one year.
See page 9 for more