The Department of Infrastructure (DoI) says its increase in fallen stock and meat plant waste charges are an “appropriate measure”.
The department said that the increase comes after Animal Waste Processing Plant (AWPP) prices had “not increased for some time”.
The DoI run plant has produced an average annual net loss of just under £500,000 over the past five years.
DoI Challenges
A spokesman said: “In common with departments across the Isle of Man Government, the Department of Infrastructure, which runs the plant, has significant challenges in meeting this year’s budget.”
However, the spokesman added that the government has recognised that the increases “have caused concern” and said it is “committed to continuing to engage with the Manx National Farmers’ Union to further consider these proposals and the impact they would have on the local agricultural industry”.
Impact on Industry
The MNFU says the three phase price increase is a “catastrophic” costs on local farmers.
Ean Parsons, President of the MNFU, said the rises are “punishing” for his members.
He said: “The final level that they’re talking at getting to are absolutely catastrophic.”
Unprecedented Level of Charges
He explained that the already struggling industry “cannot stand” the “unprecedented” level of charges to be set by the DoI.
Ean said: “It would be around six or eight weeks ago we first got the news that DoI were looking to put up animal waste charges significantly. Most of which doubling, in same cases three times.”
Due to legislation, producers are not allowed to bury on farm and cannot dispose of fallen stock any other way than via the animal waste plant.
Ean said that the logical step for him would be to keep the charges inline with prices set in the UK, and he believes that agricultural industry would accept that.
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