The Act Part 2: Support for agriculture, rural development and related matters Section 6 and schedule 1 - Power to provide support and purposes of support
35.Section 6 is the basis for the Scottish Ministers to provide support for or in connection with the purposes that are set out in schedule 1. While the specific purposes of the schedule are described in more detail below, in broad terms, the Scottish Ministers will be able to provide support, typically in the form of financial assistance, to persons in a wide range of circumstances. These purposes include traditional agricultural subsidies, forestry, supporting rural (and island) communities and development, and adapting to and mitigating against climate change. In each purpose, the support is described as being to assist a person(9) to carry out an activity or achieve an outcome. This reflects that the ultimate beneficiary of the support should be individuals and organisations carrying out activities in agriculture or rural communities.
36.However, the reference to being able to provide support ‘in connection with’ a purpose provides the Scottish Ministers with the ability to fund the development of systems which will be relevant to the provision of support and also to support activities which are linked to the purposes described in the schedule. This provides latitude to the Scottish Ministers should they consider it necessary to take a holistic approach to achieving a particular purpose. For example, it may be appropriate for the Scottish Ministers to set up initiatives that promote Scottish produce. This may involve providing financial assistance to the organiser of that initiative, rather than directly to producers. But it is ultimately for the benefit of those producers and the sector at large.
37.The section also provides the Scottish Ministers with the power to make regulations which modify the schedule in order to add, amend or remove a purpose. While it is not expected to be used often, this ensures that the schedule can be adjusted over time to take account of any changes that may be necessary, for example to add or remove specific products that require protection or to reflect changes being made to the subsidy regime in the EU.
38.Subsection (4) defines “support” for the purposes of the Act as being support provided under this section (unless it is a reference to support provided by a third party as described in section 7). It also provides that a reference to financial support is to support that is provided financially (in respect of which, see section 8(1)(a)).
39.Schedule 1 sets out the various purposes for which support may be provided. These fall into 5 broad themes, which form Parts of the schedule, and are subdivided within that into individual purposes. The themes are:
	Agriculture, food and drink
	Forestry
	Rural communities and economy
	Rural land management and the environment
	Administrative and technical support and monitoring
40.Taken together, the purposes provide a basis for supporting the full range of activities, people, businesses and organisations that were previously supported under the CAP and rural development programme as well as accommodating future rural support needs which may not have been covered previously. The ability to add, amend or remove purposes from the schedule provides a means of adjusting the schedule in light of experience or in respect of emergent areas which need to be supported.
41.As is made clear in Part 1 of schedule 1, the purposes may be combined to such extent as the Scottish Ministers consider appropriate. This ensures that support schemes may take a holistic approach and do not need to be based on one particular purpose. The grouping of purposes into themes is not intended to imply any restriction on how the purposes are to be interpreted.
42.For example, a single scheme might combine elements to provide support for certain agricultural activities under paragraph 2 of schedule 1, particular products under paragraph 3, the adoption of organic practices under paragraph 4 and adaptation to climate change under paragraph 17. Equally, support for new entrants into farming might draw on both paragraph 2 and paragraph 9.
43.This approach is intended to facilitate the Scottish Government’s ‘Vision for Agriculture’(10) which proposes the four tiers outlined above.
44.Part 2, dealing with agriculture, food and drink, contains the main agricultural purpose. This could form the basis for several different types of scheme, either based on existing CAP schemes (like the Basic Payment Scheme) or otherwise. As noted below, the regulations creating the relevant support scheme could establish a system of payment entitlements on a regional (or other) basis and incorporate specific payments for new entrants or sustainable or regenerative practices.
45.The purpose relating to particular products or sectors allows for support to be provided based on a particular product or sector of agriculture or food (rather than being focused on the activity). This purpose facilitates, among other things, the possibility of ‘coupled support’. This purpose is outcome focused, with paragraph 3(1) setting out the relevant outcomes that are sought. The products in question are listed in the paragraph.
46.Under EU rules, the Scottish Ministers elected to provide coupled support to the Scottish sheep and beef sectors through two administrative schemes: the Scottish Upland Sheep Support Scheme and the Scottish Suckler Beef Support Scheme. Assistance was also provided under the Less Favoured Area Support Scheme which was an income support scheme that was partly linked to production levels (based on historic livestock numbers).
47.The food and drink purpose (paragraph 4 of schedule 1) allows for support in connection with food and drink production, processing, packaging and marketing. While this support overlaps with the preceding purposes, it is intended to reflect the whole agri-food chain. This ranges from support provided to the growing or making of the original product, through processing, packaging and marketing, to the point that the final product is bought by consumers. For example, it could be used to support abattoirs or animal haulage services or farmers’ markets.
48.Support for food production may also involve funding research and innovation (for example, seeking improved efficiency or productivity or more resilient crops). This purpose may therefore often be used alongside the purpose set out in paragraph 10(1)(c) of schedule 1, which specifically deals with developing and testing new crops etc.
49.The food and drink purpose specifically references the use of organic practices and obtaining certification for those practices. This latter aspect reflects that organic food production and processes are the subject of international co-operation and are protected by law in many jurisdictions. Regulation where applicable is based in large part on the standards set by the International Federation of Organic Agricultural Movements,(11) an international umbrella organisation for organic farming organisations.
50.The definition of food includes drinks and therefore allows for the provision of support to a range of beverages.
51.Part 3 of schedule 1 deals with support for forestry. This purpose is primarily focused on woodland creation and management, but it may also be used in conjunction with other purposes (such as integrated land management). This purpose includes supporting woodland infrastructure and access to woodlands. This element encompasses both access for forestry management purposes and also access for recreational purposes by members of the public. This purpose is without prejudice to the duties contained in section 2 of the Forestry and Land Management (Scotland) Act 2018 which require the Scottish Ministers and Scottish public authorities to promote sustainable forest management(12).
52.The support for the creation of woodland under paragraph 5(1)(a) may be limited by the Scottish Ministers making regulations under section 15 to specify land which is not to be considered suitable for woodland, or to limit the extent to which woodland may be created on such land. For example, it may be considered unsuitable to create woodland on high quality arable land that is better suited to food production.
53.Part 4 of schedule 1 deals with the rural communities and economy. Though not expressly provided in the Act, the Scottish Government regards rural communities and economies as including island communities for these purposes.
54.Paragraph 6 sets out that working in, operating or establishing venison supply chains are purposes which may be supported. There is some overlap here with the support for venison that may be provided under paragraphs 2 and 3 of Part 1.
55.The purposes in paragraph 7(1) to (4) relate specifically to rural communities and take in a broad range of circumstances and activities which may be supported. These are free-standing purposes and are intended to provide a basis for supporting people to live, work or operate(13) in rural Scotland. This may take a variety of forms and may include supporting those who wish to invest in rural infrastructure and services.
56.The purposes also include assisting people who live, work or operate in rural areas to produce and implement strategies for the development of their area and also the forming of networks and groups of people who are involved in rural development. This is intended to support community-led planning and improvement activity. The identification of rural anchor institutions may support this by identifying organisations or businesses which have a particular significance to a community.
57.Paragraph 8 sets out other community purposes that may be supported, including creating community benefits such as clean air and water, biodiversity gains, carbon sequestration, access to nature, and wider economic and social benefits. These purposes are not defined and may be read as complementing other purposes in schedule 1.
58.The purpose, in paragraph 9, of supporting investing in rural businesses and enterprises (including co-operative societies and similar organisations) enables the Scottish Ministers to support people who are working or operating in agriculture, forestry, nature restoration, or other land use activity or which is based in or serving a rural area. This purpose is intended to cover the key stress-points for a business or enterprise including start up, growth, diversification, and changes necessitated by external factors (both natural and man-made). The purpose also facilitates support for insurance or activities designed to mitigate the risk of adverse events.
59.The purposes contained in paragraph 10 relate to knowledge, innovation, education and training. As well as generally providing a basis for support for training, learning and sharing information, paragraph 10(1)(a) provides (among other things) a clear basis to support any continuing professional development requirements that the Scottish Ministers may impose under or by virtue of section 30. It is worth noting that the sharing of information envisages supporting collaboration and networks, whether in person or online.
60.Paragraph 10(1)(b) enables people to both seek and provide advice in relation to agriculture and other rural sectors. This would cover support for the existing Farm Advisory Service as well as support for individuals, businesses or enterprises that need advice.
61.Paragraph 10(1)(c) relates to the research or development of crops, forestry products and systems and methods relating to agriculture, forestry and food production and processing.
62.Paragraph 10(1)(d) and (2) make clear that research activities or the development of systems and resources which are required to be able to deliver the core purposes described in the preceding paragraphs (including digital systems) are also supportable.
63.Paragraph 10(1)(e) enables support for people to undertake ancillary activities which might, for example, include benchmarking.
64.The purpose relating to integrated land management (in paragraph 11) is intended to support a strategic approach to the use of land and natural resources. Integrated land management aims to balance or trade-off benefits and risks when planning and managing resource extraction activities, land use activities, and environmental conservation and management.
65.An authority such as the Scottish Ministers, a local authority or a national parks authority might, for example, come to a voluntary agreement to adopt a land management plan as a way of working with land managers and other stakeholders on objectives set out in the plan.
66.A land management plan might be agreed with a particular person or collective in order to deliver smaller scale objectives such as better integration of peatland and woodland management on agricultural holdings. Support for activities under the plan may be available as a connected purpose to the plan, or under other purposes in schedule 1, depending on the context.
67.The purpose relating to quality schemes and producer groups (in paragraph 12) is intended to enable support in order to facilitate the setting up (and ongoing support) of quality schemes in respect of particular products and producer groups and organisations in the agriculture and forestry sectors.
68.Support for participation by persons in quality schemes may cover:
	protected designations of origin, protected geographical indications and traditional specialities guaranteed in the food sector,
	farm certification schemes, and
	voluntary agricultural product certification schemes recognised by the competent authority.
69.Producer groups are generally seen as a means of supporting producers in relation to:
	adapting production to market requirements,
	jointly placing goods on the market (including preparation for sale, centralisation and bulk sales),
	establishing common rules on production information, and
	other activities of such groups, such as the development of business/marketing skills and facilitating innovation.
70.The purpose relating to the preservation of historic and culture sites (in paragraph 13) provides a means to support people who have such a site, particularly where it may be financially detrimental to maintain it.
71.The purpose relating to recreational access to land (in paragraph 14) enables support to be given to improve public access to the land including, for example, by supporting landowners to ensure access rights under the Land Reform (Scotland) Act 2003 are able to be exercised in a responsible way.
72.The purpose in paragraph 15 enables support for investment in nature-based enterprises in rural areas.
73.Part 5 relates to rural land management and the environment and brings together a range of purposes relating to plant and animal heath, the environment and climate change. These purposes have a significant interaction with a range of other statutory duties relating to the environment and climate change. The purpose in paragraph 18(4) is slightly different from the other purposes in that it provides a means to compensate people who have had to implement environmental measures as a result of domestic legislation or an international treaty. Similarly, paragraph 18(6) allows for assistance to be provided to those who have sustained loss or damage as a result of the reintroduction of native species of plant or animal (including those which have previously been extinct in all or part of Scotland) or the activity of wild animals with conservation value, the killing of which is limited or prohibited either by an enactment or agreement. This might include species such as white-tailed eagles, beavers or geese.
74.Part 6 deals with administrative and technical support and monitoring. These purposes are designed primarily to assist recipients (or potential recipients) of support in a range of situations. This includes applying for support, understanding what is needed in terms of compliance with conditions and actually managing such compliance. It also may assist them to provide such information as the Scottish Ministers may need to assess whether the support provided is effective. This purpose may also be used by the Scottish Ministers to fund activities for the monitoring of support more generally.