One of the biggest livestock markets in the East Midlands could close unless business picks up, farmers and market operators say.

The Newark market in Nottinghamshire reopened in February 2002, but sales have remained low because of the lingering effects of the foot-and-mouth crisis.

Farm auctioneer Stuart Rose of Gascoines said farmers are struggling with government regulations on the movement of cattle, and trade at the market has plummeted.

"Before the foot-and-mouth crisis, we would see 500 fat cattle and 1,000 sheep on a market day, but now we only get 150 cattle and between 300 and 400 sheep," he said.

The government has made it increasingly difficult for farmers to operate

Stuart Rose Cattle auctioneer

Other cattle markets around the East Midlands have also seen a drop in sales, including the Louth market in Lincolnshire.

Turnover at the Newark market north of Nottingham near the Lincolnshire border has plummeted from �35m a year to just under �5m annually.

There is only a Wednesday market and the Monday market has been dropped, Mr Rose said.

Less choice

He explained that the government's 20-day rule means livestock cannot go to an open market if they come from a farm that has had new livestock introduced in the previous 20 days.

"Unless they go to a dedicated slaughter market, which we hold about once a fortnight, they can't sell those cattle in an auction.

"It lessens the farmer's choice."

"The government has made it increasingly difficult for farmers to operate and a lot of farmers have gone out of the livestock industry," he said.

The auctioneer said it was quite possible the Newark market could shut by Christmas if sales do not improve.