The package for pig producers includes an immediate £200,000 to improve marketing of pig meat products, to be drawn from funds already earmarked for the red meat sector after last year’s foot and mouth outbreak.  £100,000 has also been allocated to research into labelling and animal health following recommendations made by the Government-established Pig Sector Task Force. 

The funding follows some significant developments in the Scottish pig industry, not least the recent take over of Grampian Country Food Group by Dutch-owned Vion.  It also comes as the Pig Sector Task Force report was published today and ahead of the imminent publication of the Strategic Review of the Pig Industry, commissioned by the Scottish Government.

A further £700,000 is earmarked in the funding, for future projects to be allocated in partnership with the industry to allow the impact of Vion on the industry to be fully taken into account.  

Announcing the package Rural Affairs Secretary Richard Lochhead said:

"We are pledging £1m to fund projects that will improve marketing, productivity and pig health to help achieve long-term sustainability for this vital sector. 

"Our pig industry has been through very tough times recently with rising feed costs that came on top of last year's foot and mouth restrictions. With the arrival of Vion, a new chapter lies ahead for the pig industry and we are keen to help equip pig producers for the new challenges and opportunities.

"This package is the first of its kind in Scotland for the pig sector and demonstrates the Scottish Government's confidence in a sector that produces a top quality product and meets the highest welfare standards.

"It follows a range of other measures already taken by this Government to support our pig farmers. Although higher prices and lower feed costs are helping to reduce pressure on the industry, challenges remain.  These have been clearly set out by the Pig Sector Task Force in its report published today.”

Responding to the news Conservatives’ Shadow Secretary for Rural Affairs, John Scott MSP said:

"This trance of funding for the hard pressed pig sector is very welcome news and will give a shot in the arm to pig producers, many of whom have experienced horrific losses over the last year. While of course this money will not compensate for these losses, it does at least express the country's view that we want a pig farming sector and must do all we can, within EU legislation, to support it.

"There has been, and still remains, a danger that if too many pig producers go out of production, the industry, centred largely in the North-East of Scotland, would not have sufficient critical mass to continue, and this injection of cash should help and encourage producers to remain in business in the future."