PARLIAMENTARY WRITTEN QUESTION
Agriculture: Lincolnshire (4 November 2020)

We recognise the importance of agriculture and horticulture to Lincolnshire, and the contribution of Lincolnshire producers to UK food production.

This week, the Agriculture Act 2020 received royal assent. This has been welcomed by stakeholders, and will allow us to transform the way that we support farmers. Funds released as a result of the phasing out of the legacy subsidies will fulfil our manifesto pledge to be re-invested in a rollout of our future farming policy, which will be centred around support aimed at incentivising sustainable farming practices, creating habitats for nature recovery and supporting the establishment of new woodland and other ecosystem services to help tackle challenges like climate change. We will support farmers to produce high quality food in a more sustainable way and improve transparency in the supply chain to help food producers strengthen their position at the farm gate and seek a fairer return from the marketplace.

The Defra-led Food is GREAT campaign continues to raise the international profile and reputation of food and drink from across the UK, including Lincolnshire. Defra and the Department for International Trade (DIT) are also working together to offer immediate support to help agri-food businesses grow their trade activity overseas. We jointly announced in June 2020 a package of measures including: GREAT DIT Food and Drink Exporting Masterclasses; a Food and Drink SME E-Commerce Accelerator Pilot; fifty Food and Drink Export Champions to encourage aspiring exporters alongside our International Trade Advisor networks; our first Defra Agri Counsellor based in Dubai and serving the wider Gulf region; a programme of physical and virtual events, using innovative, interactive software to?connect buyers, promote the UK and reach international markets; and support from UK Export Finance to identify and respond to the needs of the sector and raise awareness of how UKEF and Trade Finance can help the businesses win and fulfil export contracts.

Throughout the Coronavirus pandemic, the Government has provided support to businesses operating in agriculture and horticulture. The COVID-19 Business Interruption Loans Scheme is available to the sector. The Government has been in priority discussions with the banking sector to clarify the position for agricultural and horticultural businesses, with clear guidance issued to the banks. In addition, the Bounce Back Loan Scheme, ensures that the smallest businesses, including those operating in agriculture and horticulture, can access up to £50,000 loans. The Government is providing lenders of this latter scheme with a 100% guarantee on each loan, to provide them with the confidence they need to support the smallest businesses in the country. The Government will also cover the first 12 months of interest payments and fees charged to the business by the lender. We have also launched specific funds to help businesses with particular difficulties, such as our Dairy Response Fund.