'Buy Scottish' scheme may fall foul of Euro rules, SNP is warned

Published on Wednesday 15 April 2009 22:01

NATIONALISTS were warned last night that a plan to reward consumers for buying Scottish produce could fall foul of European rules.

SNP activists are expected to approve a proposal at their spring conference this weekend to give consumers loyalty points for selecting Scottish produce.

But a spokesman for the English National Farmers' Union said that while shoppers should always be encouraged to back local producers, the scheme might contravene European subsidy regulations.

The plan was unveiled yesterday by Nationalist MSP Aileen Campbell. She said a rewards initiative could be modelled on the "Shamrock" scheme in Ireland which tags all Irish products with a star on till receipts.

Shoppers are then given loyalty points to encourage them to continue buying Irish produce.

Ms Campbell said that, under her plan for a Saltire scheme, Scottish-produced items would be labelled on the shelves.

Shoppers buying these goods would also see a Saltire symbol on their till receipt beside the relevant items, with stores then giving customers loyalty points for these purchases.

Ms Campbell said:

"Offering rewards for the purchase of Scottish produce could help keep shoppers focused on buying Scotland's best and support Scotland's farmers and food producers through difficult times."

The South of Scotland MSP added: "Introducing a further incentive to buy local could be a real shot in the arm for Scotland's farmers.

"We need to make full use of Scotland's magnificent larder if we are to promote healthy eating, cut food miles and boost the economy during this downturn."

A spokesman for the NFU in England said: "We would always encourage people to support their local farmers and the local economy by buying local produce whenever they can."

But he added: "The loyalty scheme is interesting but it is difficult to see how it would be compatible with European rules if public money is involved."

Jim Hume, for the Liberal Democrats, also suggested there might be problems with the SNP proposal. He said: "

This is an ill-thought-out proposal that would only lead to confusion in the market place and added costs for consumers."

Elaine Murray, Labour's environment spokeswoman, said: "

In terms of using the Saltire, supermarkets use this image pretty liberally already and this could cause confusion.

"More thought also has to be given to how small shops and farmers' markets can participate and what the loyalty points will entitle the shopper to."