European Communities (Milk Quota) (Amendment) Regulations 2002
Statutory Instruments
Source: Statutory Instruments

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paragraphs: These Regulations may be cited as the European Communities (Milk Quota) (Amendment) Regulations 2002.
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paragraphs: These Regulations come into operation on the 21st March 2002.
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paragraphs: The European Communities (Milk Quota) Regulations 2000 ( S.I. No. 94 of 2000 ) are amended-
(a) in Regulation 2(1) -
(i) by inserting the following after the definition of “functions” :
“ ‘herd’ has the meaning assigned to it by the Bovine Tuberculosis (Attestation of the State and General Provisions) Order 1989 ( S.I. No. 308 of 1989 );
“ ‘herd number’ means the number allocated for the time being to a herd by the Minister under the European Communities (Identification and Registration of Bovine Animals) Regulations 1999 ( S.I. No. 276 of 1999 );”,
(ii) by substituting the following for the definition of “holding”:
“ ‘holding’ means all production units operated by the single producer and located within the geographical territory of a Member State;”,
(iii) by substituting the following for the definition of “holding company”:
“ ‘holding company’ has the meaning that it has in section 155 of the Companies Act 1963 ;”,
(iv) by inserting the following after the definition of “Member State”:
“ ‘milking facilities’ means the premises, or both the premises, where both milking is performed and where the milk is stored and cooled;”,
and
(v) by inserting the following after the definition of “new entrant” :
“ ‘ PPS No.’ means the number known as such and allocated to a person for the purposes of the Social Welfare Acts and formerly known as the RSI number;”,
(b) by substituting the following for Regulation 8 :
“PARTNERSHIPS
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paragraphs: (1) (a) In this Regulation —
‘appropriate fees’ has the meaning given to it by paragraph (34), and ‘appropriate fee’ shall be construed accordingly;
‘ Board’ means the body commonly known as the Farm Apprenticeship Board
‘Certificate of Compliance’ has the meaning assigned to it by paragraph (24);
‘date of removal’, subject to subparagraph (b), has the meaning assigned to it by paragraph (19);
‘existing producer’ means a producer comprising either a natural person who becomes a partner, or natural persons who become partners, in a milk production partnership, and ‘existing producers’ shall be construed accordingly;
‘former partner’ means a person who was a partner in a milk production partnership which has been removed from the MPP Register;
‘keeper’ means any natural person responsible for animals, whether on a permanent or on a temporary basis;
‘milk production partnership’ means, subject to paragraph (8) (c) (ii), a partnership formed by all of the natural persons, comprising 2 and not more than 2 producers -
(i) where each producer consists only of one or more natural persons, all of whom consent to and form such partnership,
(ii) who carry on business as a partnership within the meaning of the Partnership Act 1890 in respect of milk production, and
(iii) which has been approved and registered by the Board for the purposes of this Regulation;
‘MPP Register’ means the register of milk production partnerships referred to in paragraph (18);
‘off-farm income’, in relation to any partner in a milk production partnership, means the aggregate of the income, other than income derived from-
(i) that partnership, and
(ii) any pig, poultry, mushroom, forestry or bloodstock enterprises,
which is earned by that partner from the carrying on of a trade or profession, the holding of an office or the exercise of an employment;
‘off-farm income threshold’ has the meaning assigned to it by paragraph (17);
‘partner’ means a natural person, who is either -
(i) a producer, or
(ii) one of a group of natural persons comprising a producer which consists only of natural persons,
who joins or has joined with another such partner or, where appropriate partners and forms or has formed a milk production partnership for the purposes of milk production.
(b) A reference, however expressed, in this Regulation to date of removal shall where the context admits, include a deemed date of removal as provided for by paragraph (19).
(2) This Regulation applies to -
(a) persons who are either partners in, or former partners of, a milk production partnership,
(b) any such partnership,
(c) the producers whose, or (where paragraph (8) (c) relates) some of whose, members are the partners in the milk production partnership.
(3) The partnership arrangement shall be evidenced in writing.
(4) No producer or natural person may be a partner in more than one milk production partnership at any given time. Only a natural person or persons may be a partner in a milk production partnership.
(5) A milk production partnership shall involve the pooling of -
(a) 2, and not more than 2, separate milk quotas and holdings, and
(b) all agricultural assets (including, without prejudice to the generality of the term, all agricultural lands of each partner as specified in paragraph (8) ) of each partner, whether owned at the date of execution of the partnership agreement or acquired by such partner or by the partnership at any time during the term of the partnership, other than assets relating to pig, poultry, mushroom, forestry and bloodstock enterprises.
(6) The partnership agreement shall state the address at which the milk production partnership records, books and other documents are to be retained.
(7) The terms of the partnership agreement shall indicate that the milk production partnership is to run for a period of not less than 5 years. No person may be a partner in a milk production partnership unless he or she complies with the requirements of paragraph (8).
(8) (a) Subject to paragraph (7) and subparagraph (b) the agricultural lands which shall form part of the agricultural assets of a milk production partnership are all those agricultural lands within the State owned -
(i) by each of the partners at the date of execution of the partnership agreement, and
(ii) at any time during the term of the partnership by each partner, by the partnership or by all of them,
but excluding those lands which are certified by the Board as lands which are used solely or primarily for the purposes of one or more of the enterprises specified in paragraph (5) (b).
(b) For the purposes of this Regulation agricultural lands are deemed to be owned by a partner or by the partnership where, in relation to those lands, the partner or the partnership-
(i) is the holder of, or is beneficially entitled to, any estate or interest in those lands, whether solely or jointly with another or others and whether or not subject to any estate or interest of any other person or persons, or
(ii) is otherwise legally entitled to the use and occupation of same, whether solely or jointly with another or others.
(c) (i) Subject to clause (ii), where a proposed partner in a milk production partnership is a co-owner of agricultural lands, he or she can be a partner in such partnership only where all of the other co-owners of those lands also can and do become partners in the same partnership.
(ii) Where on an application in writing to the Minister by -
(I) a co-owner of agricultural lands which are to form part of the assets of a proposed milk production partnership, or
(II) by one of the natural persons who comprise either of the producers whose, or some of whose, members are the proposed partners in the milk production partnership,
to be exempted from the requirement of being one of the partners in a proposed milk production partnership, the Minister is satisfied that it is proper to do so in the circumstances, he or she may by certificate in writing grant such an exemption.
(d) Where on an application in writing made to the Minister by a partner the Minister is satisfied that it is proper to do so in the circumstances, the Minister may by certificate in writing provide that, for such period or periods as he or she thinks appropriate, any agricultural lands acquired by a partner during the term of the partnership shall be excluded from the agricultural assets of the partnership.
(9) The provisions of Regulations 5, 6, 7, 9, 10, 11, 12, 13, 25, 26 and 27, may be availed of by each existing producer in a milk production partnership, but may not be availed of by the partnership itself.
(10) A milk production partnership may be formed only where the proposed partners have applied for and received from the Minister written approval, in respect of each herd of bovine animals to be kept-by the proposed partnership, of both -
(a) the herd number, and
(b) the keeper,
of each such herd.
(11)(a) No person may be a partner in a milk production partnership where -
(i) subject to subparagraphs (b), (c) and (d), he or she is aged 56 years or more at the date of execution of the partnership agreement, or
(ii) subject to paragraph (27), he or she has attained the age of 65 years.
(b) A former partner who is aged 56 years or more, but has not attained the age of 65 years, may apply to the Minister under subparagraph (c) for a certificate of exemption from the provisions of subparagraph (a)(i).
(c) On an application in writing made to him or her by a person concerned, the Minister may by certificate in writing exempt such person from subparagraph (a)(i). The Minister may only give a certificate under this subparagraph where he or she is satisfied that it is proper to do so in the circumstances. The Minister shall, within 14 days of its issue, provide the Board with a copy of the certificate.
(d) Where an application is made under subparagraph (c) the Minister may seek such information or documentation from the applicant or any other person as he or she deems necessary for the purpose of reaching a decision on the application.
(12) There shall be a distance not exceeding 20 kilometres between -
(a) any part of the boundary of the lands provided by one existing producer where such lands comprise of contiguous lands, or any part of the boundary of the lands on which that existing producer's milking facilities are located, where such lands do not consist of contiguous lands, and
(b) any part of the boundary of the lands provided by the other existing producer where those lands comprise of contiguous lands, or any part of the boundary of the lands on which that existing producer's milking facilities are located, where such lands do not consist of contiguous lands.
(13) A milk production partnership may be formed only where, as regards the proposed partners-
(a) each existing producer, or
(b) in a situation where an existing producer has commenced milk production following a transfer of land and milk quota-
(i) under the provisions of Regulation 6, or
(ii) made prior to 1 April 2000 but on or after 1 April 1998 where the circumstances of that transfer were the same as those specified in Regulation 6,
such existing producer and the producer or producers from whom he or she has acquired the milk quota,
made, during each of the 3 milk quota years immediately prior to the milk quota year in which the partnership agreement is executed, deliveries of milk to a purchaser, or sold milk or milk products, or both, so that at least 70 per cent of their respective delivery quotas or direct sales quotas, or both, have been utilised during each of those 3 milk quota years.
(14) In a case where, during any of the 3 milk quota years referred to in paragraph (13) -
(a) there was an outbreak of animal disease which resulted in the dairy herd of an existing producer, or the producer or producers from whom he she or they acquired the milk quota, being partially or totally depopulated, or
(b) a notice declaring a holding a restricted holding was issued pursuant to Regulation 12 of Bovine Tuberculosis (Attestation of the State and General Provisions) Order 1989 ( S.I. No. 308 of 1989 ), or
(c) notification regarding restriction on holding was issued pursuant to Regulation 7 of the Brucellosis in Cattle (General Provisions) Order 1991 ( S.I. No. 114 of 1991 ),
the Minister may, having regard to the circumstances of each case and where he or she thinks proper, grant to such existing producer a certificate of exemption under paragraph (15) from the requirements of paragraph (13).
(15) On an application in writing made to him or her under this paragraph, the Minister may grant a certificate of exemption from the requirements of paragraph (13). Any information or documentation, or both, as the Minister may deem necessary to enable the Minister to make a decision on the issuing of such a certificate, shall be furnished by the applicant to the Minister on request.
(16) The milk quota of one existing producer at the date of execution of the partnership agreement, shall not exceed the milk quota of the other existing producer at that date by-
(a) a ratio of more than 4 to 1 where the larger existing producer's quota is equal to or less than 325,000 litres;
(b) a ratio of more than 3 to 1 where the larger existing producer's quota is greater than 325,000 litres.
For the purposes of this paragraph milk quota excludes quota acquired under, and includes quota offered under, Regulation 27.
(17) (a) During the tax year immediately before the tax year in which the partnership agreement is executed, and during each tax year that the partnership exists, the off-farm income of each partner shall not exceed the relevant of the following sums (for the purposes of this Regulation referred to as ‘the off-farm income threshold’):
(i) for the tax year 6 April 2001 to 31 December 2001 the sum of €15,000 (£11,813);
(ii) for all other tax years the sum of €20,000.
(b) A partner in a milk production partnership may at any time apply to the Minister to have the off-farm income threshold for the partner for any particular tax year increased. Where the Minister is satisfied that it is proper in the context of the scheme and the circumstances of the applicant, to do so he or she may by certificate in writing provide that the off farm income threshold of such applicant for any particular tax year be increased to such figure as the Minister considers reasonable.
(18) The Board shall be the body with responsibility for the registration of milk production partnerships. The Board shall maintain a register of milk production partnerships to be known as ‘the MPP Register’. The MPP Register shall be open for inspection at all reasonable times. A milk production partnership may not operate until it is registered with the Board.
(19) Where the Board is satisfied that it is proper to do so, it may-
(a) approve and register a milk production partnership on the MPP Register,
(b) remove a milk production partnership from the MPP Register, and
(c) deem such removal to take effect, or to have taken effect, as of a date (in this Regulation referred to as a ‘deemed date of removal’), before or after the actual date of removal of the partnership from the MPP Register.
Upon removal of a milk production partnership from the MPP Register in accordance with this paragraph the milk quota of the partnership shall be transferred to the individual existing producers as provided for in paragraphs (54), (55) and (58).
(20) Where, within the 36 month period prior to an application for registration being lodged with the Board, a proposed partner has alienated or acquired, in any manner, any interest or share of the said proposed partner in any agricultural lands (exceeding in total a hectare in area), that person or persons shall not be eligible to be a partner in a milk production partnership unless, on written application made to him or her, the Minister certifies in writing, after causing the matter to be duly investigated, that he or she is satisfied that such ineligibility should be waived in the particular circumstances.
(21) The MPP Register shall contain at least the following information in relation to each partnership registered in it:
(a) the name and address of each partner and, if different, of each existing producer;
(b) the name of the partnership, if that name differs in any way from the actual names of the partners or the existing producers;
(c) the location of the lands which are-
(i) included in, and
(ii) certified by the Board as being excluded from,
the agricultural assets of the partnership;
(d) the address of the location where the records, books and other documents of the partnership are retained;
(e) the registration number and date of registration of the partnership for the purposes of this Regulation;
(f) the name and address of the purchaser or purchasers to whom-
(i) each existing producer's milk quota is attached,
(ii) the partnership's milk quota is to be attached.
(22) (a) An application for the registration of a milk production partnership -
(i) shall be in such form as is prescribed by the Minister, and
(ii) may be made at any time.
(b) No milk production partnership may be registered on the MPP Register prior to 1 April 2002.
(23) (a) An application for the registration of a milk production partnership shall be submitted directly to the Board and shall be accompanied by the appropriate fee and, subject to subparagraph (b), the following documentation and information in relation to the milk production partnership :
(i) a copy of the partnership agreement;
(ii) a statement from each existing producer's milk purchaser containing the following information:
(I) the existing producer's milk quota in the 3 milk quota years immediately prior to the milk quota year in which the partnership agreement is executed;
(II) the existing producer's actual milk deliveries in the 3 milk quota years immediately prior to the milk quota year in which the partnership agreement is executed;
(III) the existing producer's milk quota as at the date of execution of the partnership agreement; for the purposes of this clause milk quota excludes quota acquired under, and includes quota offered under Regulation 27;
(iii) a map of each partner's agricultural lands showing the entire of such lands, and clearly identifying the location of those lands-
(I) which it is proposed should be certified by the Board as being excluded from, and
(II) those which it is proposed shall form part of,
the agricultural assets of the partnership;
(iv) the written approval of the Minister under paragraph (10);
(v) documentary evidence of the PPS number of each partner;
(vi) such further documentation and information which may be required by the Board under paragraph (28).
(b) Where the Board is satisfied that it would be proper to do so in the circumstances of an application for registration of a milk production partnership, the Board may agree to accept less than all of the documentation and information otherwise required and may approve of and register the partnership accordingly.
(c) Subject to paragraph (34) (a), the appropriate fee to be charged on an application to the Board, whether for registration, re-registration, the issuing of a certificate, the exercise of a discretion or power, or any other matter within the jurisdiction of the Board under this Regulation, shall be determined by the Board, in accordance with paragraph 34, on the basis of what is fair and reasonable taking into account the amount of administrative work which the Board has to carry out in dealing with the application.
(d) A person who -
(i) refuses, or fails without reasonable cause, to provide information or documentation required by the Board under subparagraph (a), or
(ii) furnishes, or causes to be furnished, information or documentation which is materially false, misleading or incomplete,
shall be guilty of an offence.
(e) For the purposes of subparagraph (d) (i) ‘reasonable cause’ includes notification to the Board of the withdrawal of an application under subparagraph (a).
(24) (a) Where an application for registration is approved the Board shall-
(i) add the name of the relevant milk production partnership and the other details required by paragraph (21) to the MPP Register, and