The owner of a slice of land in Cornwall earmarked for a seafood park has pulled out of negotiations with development bosses. The South West of England Regional Development Agency (SWRDA) had hoped to buy the land to build a 16-acre site near the A30 at Newlyn Coombe to create a £5.5 million seafood park with Penwith District Council.

The plans sparked a fierce wave of local opposition.

Owner Christopher Perkins, head of Penryn-based Perkins Farms Ltd and former High Sheriff of Cornwall, said: "I and my advisors have encountered much personal criticism while the proposal has been in the public domain and we feel the time has come to speak publicly. For two years, we have been attempting to work with SWRDA to progress the scheme, not for personal gain but in the belief that it was in the best interests of Newlyn."

Mr Perkins said that early in 2005, terms between Perkins Farms and SWRDA had been agreed and solicitors had been instructed on the proposed development of an eight-acre site at Stable Hobba, in Newlyn Coombe, as a high quality seafood park.

But SWRDA then announced in March that they were unable to continue with the agreed format for the scheme, but would support a private or public partnership.

Mr Perkins said: "We were prepared at that stage to proceed and so we put forward detailed proposals in the autumn. During November, without negotiation, completely different proposals emerged from SWRDA that were unacceptable to us."

The controversial plan was part of SWRDA's drive to regenerate the town. But SWRDA says it will carry on with plans to find a suitable site to build the park.

It believes a seafood park in West Cornwall would boost the local economy by providing modern new premises for fish merchants and allow for more processing of fish in West Cornwall, rather than it being exported and processed elsewhere.

Stephen Bohane, head of operations for SWRDA in Cornwall and the Isles of Scilly, said: "There is enormous support from the Newlyn fishing industry and Penwith District Council for the seafood park to go ahead. We will now be working with the fishing industry and local merchants to identify other potential sites.

"Both the RDA and our partners, including the Newlyn Fish Industry Forum, remain committed to delivering this scheme.

"Because we spend public money, Government demands that we use these funds in the most responsible way.

"We cannot invest in land we do not own so, for that reason and to protect our investment, we have consistently attempted to secure either a freehold or long leasehold of the site, but have been unable to reach agreement. That means we have to look elsewhere. We want to support West Cornwall's fishing industry and add potentially millions of pounds a year to the value of the catch here in Cornwall."

Charlotte Hill, head of regeneration, tourism and leisure at Penwith District Council said: "It is very disappointing things have come to this because the RDA and the vendor have worked hard on the deal. But we will continue to try to find a suitable site."

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