Alyn Smith SNP MEP has welcomed new simplification measures to reduce the burden of cross-compliance penalties in the CAP (Common Agricultural policy).

The new proposals announced this week by EU Agriculture Commissioner Phil Hogan, take aim at the confusing and disproportionate administrative penalty system for unintentional mistakes via over-declaration of eligible land. Not only will the penalties be significantly reduced to a maximum of 1.5 times the area over-declared, but also the "yellow card" system for first offenders will see the penalty for minor over-declarations cut in half.

The Commissioner has also announced a full investigation into the impact of greening rules, based around the ongoing public consultation, with a package of changes to secondary legislation to come this summer, ready for enactment in claim year 2017.

The simplification package announced consists of three elements:

1. Preliminary checks of aid applications to allow farmers to make corrections to their aid applications up to 35 days after the final date of submission without any penalties.

2. A simplified system of penalties. Small over-declarations that are up to 3 per cent of the area declared, or 2 hectares, would continue not to be penalised.

3. The "yellow card" system for first offenders, which will see the penalty for over-declaration cut in half and farmers subject to an on-the-spot control the following year.

A spokesman for NFU Scotland said: "While we would want to look in more detail at what the proposed "yellow card" system might entail, it certainly marks a step in the right direction."

First milk exits Westbury

Westbury Dairies Ltd, the joint venture between Arla and First Milk, has confirmed that full ownership of Westbury Dairies Ltd has transferred to Arla. The joint venture company, located at Westbury, Wiltshire, operates the country's most modern skimmed milk powder and bulk butter production facility.

First Milk has shared access to the site in various joint ventures for over 12 years. Arla became a partner in the joint venture in September 2010 and purchased the freehold of the site in 2013.

The news is a further step for First Milk in reshaping its business. The agreement will enable First Milk to continue to have access to the powder drying capacity at the Westbury site during peak milk production and at other pre-defined times of the year.