SCOTTISH farming leaders yesterday gave a qualified welcome to the

decision to lower the target area to be planted by registered potato

growers in 1994, which has been fixed at 150,000 hectares by Agriculture

Ministers -- 5500 hectares below this year's figure. The reduction takes

into account the long-term trend of increasing yields.

Included are 5000 hectares specifically set aside to encourage

production of potatoes for the processing industry and other developing

sectors of the market, and to meet allocations required by the scheme.

To achieve next year's target area for plantings, the Potato Marketing

Board has decided that the quota for every registered producer will be

97.5% of his basic area, compared to 100% in 1993.

Both the 1994 target area and the quota percentage are in line with

the recommendations of the PMB's joint consultative committee.

The decrease in the target area for 1994 was described as ''a step in

the right direction,'' by Mr Bill Reid, potato convener of the Scottish

National Farmers' Union.

He continued: ''We have always argued strongly for the target area to

be set at a realistic level, which takes account of the potential for

increased yields and ensures that there is an adequate supply of

potatoes to meet the demands of the industry.

''However, this commitment to supply must be matched by a reasonable

return to producers. Although we have persuaded the JCC to recommend a

decrease in the target area, I was disappointed that, in light of last

season's experience, a more significant reduction was not agreed.

''Last season, the weather caused increased yields which resulted in

below cost of production returns. A repetition would mean many producers

leaving the potato industry. We hope the changes in target area for 1994

will result in a more successful season for producers.''