BARELY a fifth of Scotland's dairy farmers have applied for their share of a £2.4 million EU aid scheme which closes on May 1.

Urging farmers to act now to take advantage of the scheme, NFU Scotland suggested that the poor uptake may be because many farmers are still unaware of the money on offer – payments ranging between £1000 and £4000 per farm.

In 2016, the EU Commission set aside £350 million to be shared out between each member state to contribute to dairy market stabilisation. The UK was allocated £25 million, with Scotland receiving £2.4 million.

Under the terms of the Scottish scheme, the highest payment rate, £4000, is available to farmers on Bute, Arran, Mull, and the Kintyre peninsula to protect the supply base for Campbeltown creamery. Farmers who were paid a milk price of less than 20p per litre during 2016 can receive £3250; farmers who were receiving under 25p could get £2000 each, while those farmers who received 25p per litre or more can claim £1000.

In return, producers must commit to simple production profiling and milk recording – but an estimated two-thirds of Scottish dairy herds already milk record on a regular basis.

NFUS milk policy manager George Jamieson said: “Scottish dairy farmers cannot afford to miss out on the financial support currently available to them through this scheme and I urge them to crack on with applying before May 1.

“To secure those funds, Europe has insisted that producers commit to actions that will help them cope with future market volatility. The Scottish Government, in consultation with industry stakeholders including NFUS has agreed that simple production profiling and milk recording are appropriate," he explained.

"These both offer opportunities to manage, with more certainty, milk production in line with market needs, and create a vast amount of data that will be useful to the individual farmer and the sector.

“We urge all producers to get a copy of the application form, read the guidance and apply for this funding. The funds are significant, particularly for those who have been receiving the poorest milk prices over a prolonged period, and the wider benefits on production profiling and milk recording we believe could be of lasting benefit.”

Guidance on the scheme has been provided via the Scottish Dairy Hub and NFUS and can be read by visiting: http://scottishdairyhub.org.uk/notices/eu-adjustment-aid

If you have questions on the scheme, contact the Scottish Dairy Hub on: 03454 755 110, by mobile on 07500 766 083 or email: info@scottishdairyhub.org.uk.

Application forms are available on the Scottish Government’s website at https://www.ruralpayments.org/publicsite-rest/fscontent/repository/portal-system/mediadata/media/resources/sct0217239020-1_euro_inter_rd.pdf or from your local RPID office.