MINISTERU GĦALL-IZVILUPPSOSTENIBLI, L-AMBJENT U TIBDIL FIL- KLIMA

Segretarju Parlamentari għall-Biedja, Sajd u Drittijiet tal-Annimali
Direttorat tal-Agrikoltura /
MALTA / MINISTRY FOR SUSTAINABLE DEVELOPMENT, THE ENVIRONMENT
AND CLIMATE CHANGE
Parliamentary Secretariat for Agriculture, Fisheries, and Animal Rights
Agriculture Directorate

Guidelines for the Applications for Recognition as a Producer Organisation and Producer Group for Sectors-

  • Potatoes
  • Pig meat
  • Milk
  • Poultry
  • Traditional Cheeselets made from sheep and/or goats
  • Honey
  • Rabbit meat

Part I Preliminary

Part II Legal Basis

Part III Establishment and Recognition of Producer Organisations

Part IV Membership

Part V The Operational Fund

PART VISubmissions of Applications for Recognition

Part VII Recovery and Penalties

Part I

Preliminary

The purpose of these Guidelines is to provide the basic information for livestock breeders and bee keepers to apply for Recognition as Producer Organisations.

The objective behind the set up of Producer Groups and Producer Organisations is to form strength in numbers and to create market demands for the products produced by the producer members.

The functions and aims of a producer organisation include:

(a) to take measures (being related actions which together meet one or more of the objectives under the operational programme) which ensure that its members’ production will be as market-orientated as possible;

(b) to promote the placing on the market of the products produced by its members; and

(c) to promote production techniques which are environmentally sound and along rational lines.

Producer Groups and Organisations must obtain recognition by the Director of the Agriculture Directorate being the Competent Authority for the Recognition procedures., Producer Groups and Producer Organisations must be formed by a voluntary yet legally constituted body of local producers of local particular products or persons engaged in the agriculture industries, acting together to produce harvest, store, package or market their products.

In this regard prior to application for Recognition the entity must have a Statute signed and dated recognising the entity as a legal entity.

The eligible products for which recognition is to be granted include the following sectors:

  • Potatoes
  • Pig meat
  • Milk
  • Poultry
  • Traditional Cheeselets made from sheep and/or goats,
  • Honey
  • Rabbit meat

The aims of a producer organisation are to:

  • Ensure that the production is planned and adjusted to market demand, particularly in terms of quality and quantity.
  • Promote the products of which is requesting recognition.
  • Reduce production costs and stabilise producer prices.
  • Promote the use of cultivation practices, production techniques and environmentally sound waste-management practices in particular to protect the quality of water, soil and landscape and to preserve and encourage biodiversity.
  • Effectively enable their members to obtain technical assistance in using environmentally-friendly cultivation and production practices.

Part II

Legal Basis

  • Producer Organisations Act, 2002 (ACT No. IX OF 2002)
  • Producer Organisations (Certain Products) Regulations, 2007

Part III

Establishment and Recognition of Producer Organisations

To apply for Recognition from Producer Group to Organisation the following must be submitted:

(a) Complete the Recognition Application Form Part 1 for as Per Annex (I)

(b) Provide a signed and dated statute which should contain the activities the organisation intends to engage in which must include the production, harvesting, storage, packaging and/or marketing of the products.

(c) Provide Rules of Association (signed and dated) which must provide details concerning:

  • Procedures for determining, adopting and amending the Rules of Association.
  • The democratic scrutiny by members of the producer organisation of its decisions.
  • The payment by members of the financial contributions provided for in their Rules of Association for the establishment and replenishment of the operational fund.
  • The provision by members of the information requested by the producer organisation for statistical purposes, in particular on growing areas, quantities cropped or produced number of livestock or their products kept, produced and related direct sales.
  • The imposition of penalties for infringement by members of any obligation arising from the Rules of Association or from other rules laid down by the producer organisation.
  • The admission of new members, particularly concerning a minimum membership period.
  • The accounting and budgetary rules necessary for the operation of the producer organisation.

(d) Provide proof (membership agreements as per Annex III) that there are a minimum number of five Members which comprise a minimum value of total annual market share of

  • 10% for the pig meat, milk and poultry sectors and
  • 2.5% for the other four sectors.

(e)Provide a certified documentation indicating that they have a value of € 186, 400(Lm80, 000) for product turnover in the case of producer groups of potatoes, traditional cheeselets made from sheep and/or goats, honey and rabbit meat.

(f)Provide evidence that activities(production, harvesting, storage, packaging and/or marketing of the products).Can be performed efficiently.

(g)Provide indication of how the POintends to provide their members with the technical means for storing, packaging and marketing their produce and ensure proper commercial and budgetary management of their activities.

(h)Evidence of the set up of an Operational Fund. Which should be a unique account representing the PO

(i)Submit a an Operational Programme which will be in the form of a Recognition Application Form Part II (as per Annex II) which shall include at least the following:

  • A description of the initial situation of the organisation, in particular as regards the number of producer members, giving full details of membership, production, marketing and infrastructure.
  • The expected duration of the plan, which may not exceed five years.
  • The measures to be implemented in order to meet the principal aims of a producer organisation on a yearly basis

Part IV

Membership:

  • The minimum membership period of a producer shall be not less than three years from the date of from signing up as a member (As per Annex III) with the Producer Organisation.
  • Resignation of membership must be notified to the producer organisation and such resignation will become effective twelve months after notification. The PO must inform the CA about the resignation (upon being informed by the farmer), through compilation and submission of Annex IV.
  • apply the rules adopted by the producer organisation relating to production reporting, the production itself, marketing and protection of the environment;
  • (b) belong to only one of the producer organisations in respect of each product, but may belong to various organisations as long as the relative organisations do not market similar products;
  • (c) subject to the provisions of subarticle (2), market the entire production of their produce through the producer organisation; and
  • (d) pay financial contributions for the establishment and replenishment of the operational fund.

Producer members may where the producer organisation so authorizes,

(a) sell part of their production directly to consumers, details to be included in the membership agreement

(b) market through any other producer organisation or any other marketing channel, designated by their producer organisation, quantities of products which are marginal in relation to the volumes marketed by their organisation; Receipts of sales must be kept for verification purposes.

(c) market through another producer organisation or any other marketing channel, designated by their producer organisation, products which, because of their characteristics, are not normally covered by the commercial activities of the organisation concerned;

Part V

The Operational Fund

  • Producer organisation must set up an operational fund which shall be maintained by financial contributions paid by members based on the quantities or value of produce actually marketed.
  • The producer organisation may be assisted by EU public funds, if eligible and available.

Organisations and their members must keep up-to-date suitable documentation of all activities connected with the cultivation, production and marketing of their products

Part VI

Submissions of Applications for Recognition

Place:

Applications for recognitions are to be submitted by hand to the Regulatory Section, Agriculture Directorate, National Agriculture Research and Development Centre, Ghammieri, Marsa: Between 7:30am and 2:00pm

After Submission:

The director upon when necessary recommendations from the Producer Organisations Board will decide whether to grant recognition or not to a producer organisation within three months from receiving the application with all the supporting documents. Inspections at regular intervals may be carried out to ascertain that producer organisations are complying with the terms and conditions for recognition, imposing in the event of non-compliance the applicable penalties as indicated in the points above and decide where necessary to withdraw recognition.

Part VII

Recovery and Penalties

Public aid deriving from the European Union which is unduly paid or aid applied for fraudulently or irregularly, shall be recovered or withheld. Penalties shall be imposed on the beneficiary or to the applicant concerned, or both, according to the provisions of Article 63 of Regulation 445/2002 of 26 February 2002 laying down detailed rules for the application of Council Regulation (EC) No 1257/1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF).

Any producer organisation or inter-branch organisation which fails to comply with, or contravenes of any of the provisions of these regulations shall be liable to an administrative fine.This fine shall be imposed by the Director;and amounts to not less than €233 (LM100)and not more than €2330 (LM1000) for each offence, and also additional administrative fine of €116.5 (LM50) for each day during which the said failure to comply or such contravention persists.

AGRICUTURAL RESEARCH AND DEVELOPMENT CENTRE

Għammieri, Marsa MALTA

Tel (356) 22924308 Fax : (356) 25904199