The Dairy Produce Quotas (Scotland) Regulations 2002

• (g) details, in terms of each such purchaser or undertaking and each month, of the quantities delivered to that purchaser by such purchaser or undertaking;

• (h) details of the use to which milk and milk equivalent collected from that purchaser has been put;

• (i) records of individual deliveries and accompanying collection documents identifying each delivery by producer, purchaser or other undertaking; and

• (j) all books, registers, accounts, correspondence, commercial data, vouchers and supporting documents relating to the business activities of that purchaser.

Records to be kept by producers

2

• (1) In respect of each quota year, a direct seller shall keep, and retain for the relevant period, records comprising–

• (a) details of the quota held by that direct seller, including any permanent and temporary transfers of quota if appropriate;

• (b) that direct seller’s herd records (comprising number and breed of cows and calved heifers in dairy herd with details of numbers in milk and numbers dry);

• (c) daily records of milk produced;

• (d) details recorded as a result of that direct seller’s participation in the National Milk Recording Scheme or other recording scheme;

• (e) details of quantities of milk processed, methods of processing and quantities and type of milk products produced;

• (f) details of quantities of wholemilk used in the production of milk products (with conversion rates applied);

• (g) details of quantities and types of milk and milk products which are produced and used on that direct seller’s holding for stockfeeding and human consumption;

• (h) details of quantities and types of milk products which are disposed of (other than under paragraph (g)) or wasted on the holding;

• (i) details of quantities and types of milk and milk products sold direct to the consumer or transferred free of charge from that direct sellers holding (including milk and milk products sold on the holding of that direct seller);

• (j) details of quantities and types of milk and milk products purchased, exchanged or otherwise received by that direct seller, and records relating to their disposal; and

• (k) details of stocks of milk and milk products held by that direct seller on a monthly basis.

• (2) Where a direct seller delivers milk or milk products to a purchaser, that direct seller shall, in respect of each quota year, also keep, and retain for the relevant period, records comprising–

• (a) details of quantities and types of milk and milk products delivered wholesale by that direct seller and the name and address of any purchaser involved;

• (b) the payment slips issued in respect of any such purchaser; and

• (c) where there is a discrepancy between a payment slip of the purchaser and the relevant tanker receipt, that tanker receipt.

3

A producer, other than a direct seller, who makes wholesale deliveries to a purchaser shall, in respect of each quota year, keep, and retain for the relevant period, records comprising–

• (a) details of the quota held by that producer, showing permanent and temporary transfers of quotas if appropriate;

• (b) that producer’s herd records (comprising number and breed of cows and calved heifers in dairy herd with details of numbers in milk and number dry);

• (c) daily records of milk produced;

• (d) details of quantities and types of milk and milk products delivered wholesale by that producer, and the name and address of any purchaser involved;

• (e) the payment slips issued in respect of any such purchaser;

• (f) where there is a discrepancy between a payment slip of a purchaser and the relevant tanker receipt, that tanker receipt;

• (g) details recorded as a result of that producer’s participation in the National Milk Recording Scheme or other recording scheme;

• (h) details of quantities and types of milk and milk products produced and used on that producers holding for stockfeeding and human consumption;

• (i) details of quantities and types of milk and milk products which are disposed of (other than under paragraph (h)) or wasted on the holding;

• (j) details of quantities and types of milk and milk products transferred free of charge from that producers holding;

• (k) details of quantities and types of milk and milk products purchased, swapped or otherwise received, and records relating to their disposal; and

• (l) details of stocks of milk produced on that producers holding and any resulting milk products.

Records to be kept by any person undertaking butterfat testing in a laboratory

4

Any person undertaking butterfat testing for a purchaser in a laboratory shall keep, and retain for the relevant period, records comprising details of all samples of milk analysed, showing–

• (a) the time and date the sample was taken on the holding;

• (b) the time and date of that persons receipt of the sample;

• (c) the time and date of the analysis;

• (d) the identity of the purchaser concerned;

• (e) the identity of the producer concerned (by name or reference number);

• (f) the butterfat content of each sample recorded to two decimal places;

• (g) the method of analysis used; and

• (h) the results of any repeat analyses undertaken.

Records to be kept by hauliers

5

Any haulier collecting milk or milk products on behalf of a purchaser shall keep, and retain for the relevant period, records comprising details of all quantities of milk or milk products so collected, showing–

• (a) the time and date of collection from each producer;

• (b) the time and date of sampling of the milk or milk products of each producer;

• (c) the identity of the producer concerned;

• (d) the volume of milk collected (including a copy of the tanker receipt in the cases referred to in sub-paragraphs 2(2)(c) and 3(f));

• (e) the identity of the purchaser concerned;

• (f) the volume of milk delivered, and the name and address of each reception site;

• (g) the sources of all the milk carried on each tanker; and

• (h) details of any malfunction in any equipment used by that haulier.

Records to be kept by processors

6

Any processor in receipt of milk or milk products for processing or treating shall keep, and retain for the relevant period, records comprising details of all quantities of milk and milk products received, showing–

• (a) the time and date of their delivery;

• (b) their volume or weight per delivery (including copies of tanker receipts and weighbridge tickets in the cases referred to in sub-paragraphs 2(2)(c) and 3(f));

• (c) the name and address of the haulier concerned;

• (d) the name and address of their seller or donor;

• (e) the quantities of milk processed, types of processing undertaken, and quantities and types of milk products produced;

• (f) the quantities of milk used in the production of milk products (if not ascertainable from the information provided under paragraph (e));

• (g) the calculated stocks of milk and milk products held by that processor at the end of each month and details of actual stocks physically held as at 31st March each year; and

• (h) the quantities of milk or milk products sold or otherwise disposed of, with the date of supply or disposal, and the names and addresses of the buyers or recipients concerned.

Records to be kept by persons buying, selling or supplying milk or milk products obtained directly from a producer or purchaser

7

Any person buying, selling or supplying milk products obtained directly from a producer or purchaser shall keep, and retain for the relevant period, records comprising details of all quantities of milk or milk products received, showing–

• (a) the time and date of their receipt;

• (b) their volume or weight per delivery (including copies of tanker receipts or invoices in the cases referred to in paragraphs 2(2)(c) and 3(f));

• (c) the name and address of the haulier concerned;

• (d) the name and address of their seller or donor;

• (e) the quantities of milk or milk products sold or supplied, with the date of sale or supply, and the names and addresses of the buyers or recipients concerned; and

• (f) the quantities of milk or milk products returned to the producer or purchaser unsold or unused, and the date of that return.

Interpretation

8

In this Schedule, in relation to any records–

• (a) “the relevant period” means the remainder of the year of record and a period of at least three calendar years thereafter; and

• (b) “the remainder of the year” means, following the making of the records, the remainder of the year in which they were made.

Signed

ROSS FINNIE — A member of the Scottish Executive — 7th March 2002

Explanatory note

(This note is not part of the Regulations)

1The conditions surrounding a transfer of quota without a corresponding transfer of the land to which that quota relates have been eased. The transferor and transferee are no longer required to give undertakings that they will not transfer quota onto or from their holdings for up to two quota years, and existing undertakings will cease to have effect (regulation 34(2)). Instead, the transferee is required to undertake to the Scottish Ministers that the transferee will be in milk production on a date six months from the date of the transfer (regulation 12(2)(c)).

2The provisions concerning the temporary reallocation of quota have been extended to cover herd movement restrictions resulting from a declaration made under an order made pursuant to section 17 of the Animal Health Act 1981 (regulation 14(2)(a)). In addition, the definition of “eligible heifer” has been amended, introducing a new method of counting such heifers, and of calculating when the replacement number of heifers has been met, thus determining when reallocation is possible (regulation 2(1) and regulation 14).

3In implementation of Article 13(2) of the Commission Regulation (which requires purchasers to be approved and confers on member States the power to impose additional conditions of approval), purchasers are required to apply to the Scottish Ministers for approval and meet certain conditions as to character, financial state and future conduct (regulation 24).

4New provisions have been adopted in respect of the keeping and retention of records (regulation 29 and Schedule 4).

5Administrative penalties have been introduced in relation to any failure of a purchaser to submit to the Scottish Ministers certain statements, summaries or statistics (regulation 30).

6The provisions concerning offences and criminal penalties have been revised (regulation 31).

Footnotes

[^f00001]: 1972 c. 68; section 2(2) was amended by the Scotland Act 1998 (c. 46), Schedule 8, paragraph 15(3). The function conferred upon the Minister of the Crown under section 2(2) of the European Communities Act 1972, insofar as within devolved competence, was transferred to the Scottish Ministers by virtue of section 53 of the Scotland Act 1998.

[^f00002]: 1948 c. 45.

[^f00003]: O.J. No. L 161, 2.7.1993, p.48, as last amended by Commission Regulation (EC) No. 569/1999 (O.J. No. L 70, 17.3.99, p.12).

[^f00004]: O.J. No. L 235, 18.9.93, p.18.

[^f00005]: 2000 c. 7.

[^f00006]: S.I. 2002/458.

[^f00007]: 1981 c. 22.

[^f00008]: 1985 c. 48.

[^f00009]: S.I. 1992/314 as amended by S.I. 2001/3198 and S.S.I. 2001/390.

[^f00010]: S.I. 1997/773, amended by S.I. 1997/1093 and 1998/2880 and S.S.I. 2000/52, 391 and 2001/390.

[^f00011]: S.I. 1997/1093.

[^f00012]: S.S.I. 2000/52.

[^f00013]: S.S.I. 2000/391.

[^f00014]: S.S.I. 2001/390.

[^f00015]: O.J. No. L 196, 05.08.93, p.6.

[^f00016]: O.J. No. L 243, 29.09.93, p.1.

[^f00017]: O.J. No. L 291, 30.10.98, p.4.

[^f00018]: O.J. No. L 335, 10.12.98, p.33.

[^f00019]: O.J. No. L 291, 30.10.98, p.4.

[^f00020]: O.J. No. L 243, 29.09.93, p.1.

[^f00021]: O.J. No. L 187 10.07.01, p.19.

[^f00022]: O.J. No. L 405, 31.12.92, p.1.

[^f00023]: O.J. No. L 154, 25.06.93, p.30.

[^f00024]: O.J. No. L 80, 24.03.94, p.16.

[^f00025]: O.J. No. L 197, 30.07.94, p.25.

[^f00026]: O.J. No. L 66, 24.03.95, p.11.

[^f00027]: O.J. No. L 148, 30.06.95, p.43.

[^f00028]: O.J. No. L 90, 11.04.96, p.17.

[^f00029]: O.J. No. L 148, 21.06.96, p.13.

[^f00030]: O.J. No. L 94, 09.04.97, p.4.

[^f00031]: O.J. No. L 73, 12.03.98, p.1.

[^f00032]: O.J. No. L 127, 29.04.98, p.8.

[^f00033]: O.J. No. L 96, 10.04.99, p.11.

[^f00034]: O.J. No. L 160, 26.06.99, p.73.

[^f00035]: O.J. No. L 90, 12.04.00, p.4.

[^f00036]: O.J. No. L 89, 29.03.01, p.18.

[^f00037]: O.J. No. L 187, 29.07.93, p.8 (as read with Corrigenda published in O.J. No. L 314, 16.12.93, p.51).

[^f00038]: 1993 c. 44.

[^f00039]: 1911 c. 49.

[^f00040]: 1991 c. 55.

[^f00041]: 1894 c. 13 (57 and 38 Vict).

[^f00042]: 1993 c. 45.

5

For the purposes of Article 2(1) of the Council Regulation (which concerns the calculation of the levy), the contribution of producers who make wholesale deliveries towards the levy shall be established, in accordance with the provisions of that Article, at the level of the purchaser.

6

• (1) For the purposes of Article 2(3) of the Commission Regulation (which concerns milk equivalence of dairy produce) the milk equivalence of dairy produce shall be calculated on the basis that each kilogram of dairy produce shall equal such quantity of milk referred to in paragraph (2) as is required to make that kilogram of dairy produce.

• (2) The milk to which paragraph (1) relates is milk the fat content of which has not been altered since milking.

7

• (1) Where any wholesale quota is increased or reduced in accordance with the Community legislation or these Regulations, the purchaser quota of any purchaser to whom that quota is applicable shall be correspondingly increased or reduced.

• (2) On any transaction to which the second sub-paragraph of Article 2(2) of the Council Regulation (which concerns replacement of purchasers and changes of purchasers by producers) applies, any purchaser whose purchaser quota has been increased by virtue of such a transaction (other than as a result of a temporary transfer of quota under regulation 13) shall submit to the Scottish Ministers–

• (a) on or before 14th May in the quota year immediately following the quota year in which that transaction took place, a statement setting out the particulars of the transaction; and

• (b) where appropriate, a declaration made and signed by the producer that the purchaser whose purchaser quota is to decrease has been notified of the particulars set out in the statement referred to in sub-paragraph (a) above.

• (3) The statement referred to in paragraph (2)(a) and the declaration referred to in paragraph (2)(b) shall be made in such form as may reasonably be required by the Scottish Ministers.

• (4) Subject to paragraph (5), where during a quota year a producer changes from being registered with one purchaser to being registered with any other purchaser–

• (a) for the purposes of calculating liability for levy pursuant to regulation 18 in that quota year, any purchaser with whom the producer is newly registered shall request of the Scottish Ministers (in such form as they may require) that the purchaser quota of the purchaser be increased by an amount equivalent to such part of the registered wholesale quota of that producer as that producer shall determine;

• (b) the amount of the increase of the purchaser quota determined in accordance with sub-paragraph (a) shall not include the amount of quota necessary to cover the deliveries made by the producer before the date of the change of purchaser, adjusted if necessary in accordance with the second sub-paragraph of Article 4(1) of the Commission Regulation, and such amount of quota shall remain available to the original purchaser;

• (c) at the beginning of the quota year immediately following the quota year referred to in sub-paragraph (a), the purchaser with whom the producer is newly registered shall have the quota of that purchaser increased by such part of the remaining registered wholesale quota of the producer as that producer shall determine; and

• (d) corresponding reductions of the purchaser quota of the original purchaser shall be made, and, where there are adjustments of quota of a producer registered with more than one purchaser, such reductions of purchaser quota shall be made in respect of such of those other purchasers in such proportions as may appear to the Scottish Ministers to be appropriate in all the circumstances.

• (5) Where the amount of quota necessary to cover the deliveries made to an original purchaser and referred to in paragraph (4)(b) is affected by an adjustment of the quantity delivered by the producer (being an adjustment in accordance with the second sub-paragraph of Article 4(1) of the Commission Regulation)–

• (a) in the event that an increase in such quota of the original purchaser is necessary to cover the deliveries made to the original purchaser by the producer, the original purchaser may apply to the Scottish Ministers (in such form as they may reasonably require) to assess and make such increase, and make a corresponding reduction in the purchaser quota of the purchaser with whom the producer is newly registered; and

• (b) in the event that a reduction is capable of being made to the quota of an original purchaser who has more than is necessary to cover the deliveries made to the original purchaser by the producer, any purchaser with whom the producer is newly registered and who requires an increase in purchaser quota to cover the deliveries made by the producer to the purchaser with whom the producer is newly registered may apply to the Scottish Ministers (in such form as they may reasonably require) to assess and make the appropriate reduction, and make a corresponding increase in the purchaser quota of that purchaser with whom the producer is newly registered,

and in each case upon such application the Scottish Ministers shall make the assessment requested and the appropriate adjustment.

• (6) An application under paragraph (5)(a) or (b) shall be made no later than 15th June in the quota year immediately following the quota year during which the producer changed from being registered with the original purchaser to being registered with the other purchaser in question.

Provided that they–

• (a) have reasonable grounds for believing that the undertaking provided by the transferee pursuant to paragraph (2)(c) has been breached;

• (b) are satisfied that there is no justification for releasing the transferee from that undertaking pursuant to paragraph (5);

• (c) serve on the transferee a notice to this effect;

• (d) give the transferee an opportunity to make written representations within such time as they consider reasonable; and

• (e) consider any such representations,

and the Scottish Ministers shall, after so deciding, take steps to ensure the transfer of that quota to the national reserve until such time as the transferee resumes or commences milk production.

• (5) Where an application submitted pursuant to paragraph (1) has been approved by the Scottish Ministers, they may decide to release the transferee from the undertaking provided pursuant to paragraph (2)(c) where they are satisfied that the release is justified in the light of exceptional circumstances which have resulted in the transferee ceasing to be, or failing to become, a producer, and which could not have been avoided or foreseen by the transferee at the time of the submission of the application.

• (6) The exceptional circumstances referred to in paragraph (5) are–

• (a) the inability of the transferee to conduct the business of the transferee for a prolonged period as a result of the onset of ill-health, injury or disability;

• (b) a natural disaster seriously affecting the holding;

• (c) the accidental destruction of buildings used for the purposes of milk production;

• (d) without prejudice to sub-paragraph (e) below, an outbreak of illness or disease seriously affecting the dairy herd;

• (e) the serving of a notice or the making of a declaration under an order made pursuant to section 17 of the Animal Health Act 1981 or the adoption of an order under section 1 of the Food and Environment Protection Act 1985 ; and

• (f) the loss of a significant proportion of the forage area as a result of the compulsory purchase of the holding or part of the holding.

• (7) In conformity with sub-paragraph (d) of Article 8 of the Council Regulation (which provides for the determination of regions within which such transfers may be authorised), no application submitted pursuant to paragraph (1) shall be approved by the Scottish Ministers where the transfer would result in an increase or reduction in the total direct sales quota or total wholesale quota available for use by dairy enterprises located within a Scottish Islands area.

In these Regulations–

• “the Community compensation scheme” means–the scheme instituted by Council Regulation (EEC) No. 2187/1993 providing for an offer of compensation to certain producers of milk and milk products temporarily prevented from carrying on their trade and Commission Regulation (EEC) No. 2648/1993 laying down detailed rules for the application of Council Regulation (EEC) No. 2187/1993; orthe scheme instituted by Council Regulation (EC) No. 2330/1998 providing an offer of compensation to certain producers of milk and milk products temporarily restricted in carrying out their trade and Commission Regulation (EC) No. 2647/1998 laying down detailed rules for the application of Council Regulation (EC) No. 2330/1998; orboth those schemes;

• “the Community legislation” means–the Commission Regulation;Commission Regulation 1756/93;Commission Regulation 2562/93;Commission Regulation (EEC) No. 2648/1993 laying down detailed rules for the application of Council Regulation (EEC) No. 2187/1993;Commission Regulation 2647/1998 laying down detailed rules for the application of Council Regulation 2330/1998 ;the Council Regulation;Council Regulation 2055/93;Council Regulation (EEC) No. 2187/1993 providing for an offer of compensation to certain producers of milk and milk products temporarily prevented from carrying on their trade;Council Regulation (EC) No. 2330/1998 providing an offer of compensation to certain producers of milk and milk products temporarily restricted in carrying out their trade;

• “the Commission Regulation” means Commission Regulation (EC) No. 1392/2001 laying down detailed rules for applying Council Regulation (EEC) No. 3950/1992 establishing an additional levy on milk and milk products;

• “the Council Regulation” means Council Regulation (EEC) No. 3950/1992 establishing an additional levy in the milk and milk products sector, as amended by–Council Regulation (EEC) No. 1560/1993 ;Commission Regulation (EC) No. 647/1994 ;Council Regulation (EC) No. 1883/1994 ;Commission Regulation (EC) No. 630/1995 ;Council Regulation (EC) No. 1552/1995 ;Commission Regulation (EC) No. 635/1996 ;Commission Regulation (EC) No. 1109/1996 ;Commission Regulation (EC) No. 614/1997 ;Council Regulation (EC) No. 551/1998 ;Commission Regulation (EC) No. 903/98 ;Commission Regulation (EC) No. 751/1999 ;Council Regulation (EC) No. 1256/1999 ;Commission Regulation (EC) No. 749/2000 ;Commission Regulation (EC) No. 603/2001 ;

• “Council Regulation 2055/93” means Council Regulation (EEC) No. 2055/93 , allocating a special reference quantity to certain producers of milk and milk products.

Editorial notes

[^c9799111]: 1972 c.68; section 2(2) was amended by the Scotland Act 1998 (c.46), Schedule 8, paragraph 15(3). The function conferred upon the Minister of the Crown under section 2(2) of the European Communities Act 1972, insofar as within devolved competence, was transferred to the Scottish Ministers by virtue of section 53 of the Scotland Act 1998.

[^c9799121]: 1948 c. 45.

[^c9799131]: O.J. No. L 161, 2.7.1993, p.48, as last amended by Commission Regulation (EC) No. 569/1999 (O.J. No. L 70, 17.3.99, p.12).

[^c9799141]: O.J. No. L 235, 18.9.93, p.18.

[^c9799151]: 2000 c.7.

[^c9799161]: S.I. 2002/458.

[^c9799171]: 1981 c.22.

[^c9799181]: 1985 c.48.

[^c9799191]: S.I. 1992/314 as amended by S.I. 2001/3198 and S.S.I. 2001/390.

[^c9799201]: S.I. 1997/773, amended by S.I. 1997/1093 and 1998/2880 and S.S.I. 2000/52, 391 and 2001/390.

[^c9799211]: S.I. 1997/1093.

[^c9799221]: S.S.I. 2000/52.

[^c9799231]: S.S.I. 2000/391.

[^c9799241]: S.S.I. 2001/390.

[^c9799251]: O.J. No. L 196, 05.08.93, p.6.

[^c9799261]: O.J. No. L 243, 29.09.93, p.1.

[^c9799271]: O.J. No. L 291, 30.10.98, p.4.

[^c9799281]: O.J. No. L 335, 10.12.98, p.33.

[^c9799291]: O.J. No. L 291, 30.10.98, p.4.

[^c9799301]: O.J. No. L 243, 29.09.93, p.1.

[^c9799311]: O.J. No. L 187 10.07.01, p.19.

[^c9799321]: O.J. No. L 405, 31.12.92, p.1.

[^c9799331]: O.J. No. L 154, 25.06.93, p.30.

[^c9799341]: O.J. No. L 80, 24.03.94, p.16.

[^c9799351]: O.J. No. L 197, 30.07.94, p.25.

[^c9799361]: O.J. No. L 66, 24.03.95, p.11.

[^c9799371]: O.J. No. L 148, 30.06.95, p.43.

[^c9799381]: O.J. No. L 90, 11.04.96, p.17.

[^c9799391]: O.J. No. L 148, 21.06.96, p.13.

[^c9799401]: O.J. No. L 94, 09.04.97, p.4.

[^c9799411]: O.J. No. L 73, 12.03.98, p.1.

[^c9799421]: O.J. No. L 127, 29.04.98, p.8.

[^c9799431]: O.J. No. L 96, 10.04.99, p.11.

[^c9799441]: O.J. No. L 160, 26.06.99, p.73.

[^c9799451]: O.J. No. L 90, 12.04.00, p.4.

[^c9799461]: O.J. No. L 89, 29.03.01, p.18.

[^c9799471]: O.J. No. L 187, 29.07.93, p.8 (as read with Corrigenda published in O.J. No. L 314, 16.12.93, p.51).

[^c9799481]: 1993 c.44.

[^c9799491]: 1911 c.49.

[^c9799501]: 1991 c.55.

[^c9799511]: 1894 c.13 (57 and 38 Vict).

[^c9799521]: 1993 c.45.