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Farming

Pressing questions on farm funding’s future

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Screen Shot 2016-08-16 at 14.03.27FOLLOWING a debate in the House of Commons, the attitude of Welsh politicians in the UK Parliament was thrown into sharp focus by comments made by both Conservative minister Guto Bebb and Wrexham’s Labour MP Ian Lucas. 

It was Mr Lucas’ remarks which attracted the most notable reaction by Welsh politicians in the first instance.

He asked Mr Bebb: “Does the Minister agree that leaving the European Union offers a golden opportunity to assess the level of subsidy paid to farming in Wales to see whether that money can be more effectively and efficiently spent in other areas?”

The inference to be drawn from the question was crystal clear and was pounced upon by Plaid Cymru.

CALL FOR COMMITMENT ON AGRICULTURE 

Carmarthenshire’s Jonathan Edwards MP, who was sitting in front of Ian Lucas MP in the Commons, called for Labour to urgently clarify whether it will cut financial support for Welsh farmers.

Plaid Cymru Shadow Cabinet Secretary for Rural Affairs, Simon Thomas, said: “Ahead of the Referendum, the people of Wales were promised that no funding would be lost by leaving the European Union. Since then, Plaid Cymru has made it our duty to fight to protect the funding that Wales receives, but Labour seems to view it as a chance for a smash and grab on Wales’ funding.

“We know that 80% of Welsh farms are dependent on European funding to support their businesses, but Labour has shown complete disregard for the interests of the people of Wales and its agriculture sector.

“Labour really has let the mask slip. Whilst Plaid Cymru is focusing on protecting the interests of Welsh communities, Labour is plotting to cut their funding.”

Mr Edwards said: “Labour’s blatant and worrying attack on Welsh agriculture is yet another sign that the Labour party simply does not understand the Welsh agriculture sector or the challenges faced by our rural communities.

“The Welsh family farm is not only a core component of the Welsh agricultural sector and the Welsh economy, but is the main channel through which we as a nation can achieve food and environmental security.

“This expression of contempt for our agricultural sector is utterly unjustified. Welsh farmers face tremendous financial challenges in selling their produce and Labour should be focusing their efforts on facilitating Welsh agricultural exports, rather than marking them as a target for austerity and cuts.

“The Labour MP’s constituency partner, the Cabinet Secretary for Environment and Rural Affairs Lesley Griffiths, urgently needs to answer whether her constituency’s partner’s question reflects official Labour Party policy.”

FARMERS ARE ‘WEALTHY LANDOWNERS’ 

The Labour MP was unrepentant about his remarks and has gone on to further criticise the Welsh farming community, stated that Welsh farmers are ‘wealthy landowners’.

The Herald invited the Cabinet Secretary for Environment and Rural Affairs to respond to her Westminster colleague’s remarks.

A spokesperson for the Welsh Government told us: “The First Minister made it clear to the Prime Minister earlier this week he is seeking assurances that Welsh farmers do not lose out financially as a result of Brexit. This means every penny currently received from the EU being replaced by the UK Government. The Cabinet Secretary for Environment and Rural Affairs also reiterated this to the UK Government’s Farming Minister.

“As we prepare to withdraw from the European Union, we must use the opportunity over the coming years to assess the specific needs of the farming industry in Wales and identify how we can forge distinctly Welsh policies that will enable Welsh farming to prosper in a post-Brexit world.”

‘NOT A PENNY LESS’ 

Welsh Liberal Democrat William Powell told The Herald: “In the economic conditions that we now face as a country, pressure on the public purse will be all the more acute. The Welsh Liberal Democrats are supporting the ‘Not a Penny Less’ campaign in terms of farm support, and this has proved popular on our stand at this year’s Royal Welsh Show.

“However, it is more important than ever for farmers to engage in the public debate, so that there is a better understanding of the vital contribution that they make as custodians of the land, in terms both of maintaining biodiversity, but also to the whole tourist sector, which we know is such a critical part of the wider rural economy.

“However, more important than anything for Welsh farming is securing long -term access to the European Single Market for our quality farm exports – and making that an essential element in the permanent post Referendum settlement. And with Andrea Leadsom MP’s comments about hill farmers ‘looking after the butterflies ’, betraying an evident lack of understanding and empathy for Welsh farming, it is vital that Wales retains a robust and distinct farming policy. Welsh Liberal Democrats will be fighting for this in the time to come.”

LABOUR INSULTS RURAL COMMUNITIES

Andrew RT Davies was trenchant in his criticism both of Mr Lucas and Lesley Griffiths: “These comments once again highlight Labour’s attitude towards rural communities, and it is remarkable that their MPs are actively lobbying to give less money to farmers.

“It follows comments from Leslie Griffiths, the Cabinet Secretary who insulted Welsh farmers by suggesting that they don’t make good business owners. Now they want to take their money away.

“During the campaign, senior UK government ministers gave guarantees that Welsh farmers would not be worse off after the UK leaves the EU, and I will continue to work with those colleagues to ensure that those promises are delivered.”

THE LESS CERTAIN MR BEBB

However, an examination of Guto Bebb’s responses to Commons questions on Wales’ farming sector reveals a less certain picture.

The Undersecretary of State was questioned repeatedly on the impact of Brexit on the funding provided to Welsh farmers.

In response to Ian Lucas’s question, rather than giving a ringing ‘no’ and committing the UK Government to maintaining funding levels, Mr Bebb said (emphases added): “We need to look at the way in which Government spend money. IF there is to be a funding mechanism in the future for Welsh agriculture, it MUST BE LOOKED at in the totality of Government spending.”

That is some way short of promises made by senior UK Government ministers that Wales’ farmers would not be worse off.

And to further underline how conditional UK Government’s support is, responding to a question from Liz Saville-Roberts, Plaid’s MP for Dwyfor Meiryonnydd, the limited reassurance given was an ‘assurance to the farming unions that the current funding situation is in place until 2018’.

That echoed a previous response to Mark Williams, Liberal Democrat MP for Ceredigion, in which the conditionality of UK Government support for Welsh agriculture was again underlined: “… The ongoing support for Welsh farming will be subject to agreements involving this Government, the way in which we exit the European Union and the decisions taken by the future Prime Minister.”

That is, again, a long way short of Andrew RT Davies’s reference to a promise that Welsh farmers would not be worse off.

The reluctance to commit to a definitive answer is striking, bearing in mind that in the same questions to the Welsh Office, Mr Bebb stated that: “The farming sector is the economic backbone of the Welsh rural economy. The total income from farming in Wales is estimated at more than £175 million, but more important is the contribution that Welsh agriculture makes to our rural communities.”

He also remarked that: “More than 60,000 jobs in Wales are dependent on the agriculture sector, and it would be short-sighted in the extreme for any Government to turn their back on a sector that puts Wales on the international map.”

‘FARMING IS WALES’ BEDROCK’

Speaking at the Royal Welsh Show last week, Glyn Roberts, President of the FUW, made a series of emphatic observations on the importance of Wales’s agricultural sector: “There are almost as many people engaged in the milk industry in Pembrokeshire as there are people making a living in our Welsh steel industry. Yet there is a clear imbalance in political focus for supporting these two very important industries – an imbalance which also extends to all our agricultural sectors.”

He added that his aspiration and, indeed, the intention of the Farmers’ Union of Wales is to change this.

“We want to see the value and importance of the rural economy truly recognised, and to build a visible and valued Rural Powerhouse – not something that attracts industrial focus in a small geographic area, like the north-east Wales ‘powerhouse’ built around foreign manufacturing; what is needed is recognition of the fact that 80% of our land mass is rural; that more than a third of Wales’ population live in rural areas; and that farming is the bedrock of our rural communities, without which vast direct and indirect contributions to Wales’ economy as a whole would disappear.”

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Farming

No one size solution for farm exports

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Food exports: Market messages need to be tailored

BRITISH food exporters need to gain an understanding of consumer needs in different countries if the UK’s farmers are to fully reap the rewards of overseas trade, according to AHDB.

In its latest edition of the Horizon Brexit series, AHDB argues that a ‘one-size-fits-all’ approach to unlocking export opportunities should be avoided and that we cannot rely on ‘Brand Britain’ alone to boost sales.

The report, focuses on international buying behaviours and looks at exporting from a consumer perspective. It highlights the need for industry to monitor and adapt to the needs of each marketplace to create more opportunities.

The study included responses from more than 4,500 consumers in nine countries – from key UK export markets in North America, Europe, Gulf States and Asia – around what motivates and drives them to choose the food they buy.

Among the key findings was that, while seven out of the nine countries surveyed said ‘quality’ was the most important factor, both China and Japan stated ‘food safety’ as critical in their food choices.

Christine Watts, AHDB chief communication and market development officer, said: “Concerns and priorities vary by market and many could benefit from tailored messaging to appeal to these different interests.

“For instance, in China and Japan food safety is critical. Communication to these markets needs to be tailored to meet the desires of consumers so they know more about the safety of the food they eat.”

The report also closely considers the impact of ‘British’ branding overseas and looks at some of the opportunities and challenges this holds in a post-Brexit world.

Steven Evans, AHDB consumer insight manager and author of the report, said: “The research looked to capture the reaction to ‘Brand Britain’ and understand objectively how other countries see us. We found that many consumers have not had direct exposure to British food products and, therefore, have not had the opportunity to build a firm view of their qualities.

“This highlights that exposure to products and clear branding is necessary to drive awareness and build brand reputation.”

Other key aspects from the report include how different sectors also have different drivers in buying behaviour. For example, while quality was important for both meat and dairy, price featured second in the list for meat while freshness was the second highest purchase motivator in the dairy industry.

Also, promoting the same meat cuts across all countries would not be beneficial for British exporters as lifestyles, tastes and food choices differ around the world.

AHDB International Market Development Director Dr Phil Hadley said: “Often, what we as a British consumer perceive as a good product message will not be relevant for all export markets.

“For example, the Chinese Sunday roast is not commonplace but Dong Po Rou (braised pork belly) is. Both hold a similar association as they both use larger joints but each fit very different meal occasions.

“We also know that a Chinese consumer is comfortable to view the whole journey from farm to fork. But it would be dangerous to assume that the same approach across all export markets will result in the same sales performance.

“A one-size-fits-all approach doesn’t allow for customisation and adapting to meet specific domestic demands. It is critical that British food producers don’t make assumptions that their product has the same relevance across all markets.”

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Farming

Rural areas vital for economies

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Areas of growth, opportunity, and inspiration: OECD report claims

RURAL areas are vital to national economies and addressing global challenges, according to the policy statement released at the 11th OECD Rural Development Conference held in Edinburgh.

The policy statement, which provides guidance to governments to support rural economic development, also declared that innovation will be critical to the future competitiveness and sustainability of rural economies. It also outlines the case for focusing on rural areas as engines of national prosperity and how policies should leverage this opportunity.

Jose Enrique Garcilazo, Head of OECD’s Regional and Rural Policy Unit, said: “Rural regions are not synonymous with decline or agricultural specialisation, but places of growth, opportunity and inspiration, yet rural is still not central to government policy. Rural areas have a key part to play in some of our major global challenges. They are best placed to develop new energy sources, to help sustain our natural environment and to ensure food security.

“In an increasingly interconnected world, opportunities are emerging to promote rural prosperity. Digitalisation will propel rural economies forward, and the conference has highlighted that supporting innovation in rural areas will be key to the future prosperity and wellbeing of rural regions.”

The policy statement identifies 10 key drivers of change predicted to influence the future of rural economies and communities and their potential to prosper, including additive manufacturing (for example 3D printing); decentralised energy systems; digital connectivity; the future of health; shifting values and preferences; drones; and driverless cars.

The statement also recommends that, in addition to prioritising rural innovation, a robust rural policy should place social, environmental and economic wellbeing at the forefront of policy decisions and take an integrated view across policy sectors to avoid one policy detracting from another.

The 2018 Conference, Enhancing Rural Innovation, was hosted by the Scottish Government and co-hosted by the European Commission and the UK, to provide a forum for key policy officials and academics from OECD member countries to engage and share ideas and experiences on rural policy.

It is the eleventh in the OECD Rural Conference Series, which has been held all over the world since its inception in 2002.

Prior to the main conference, a series of interactive sessions, led by the European Network for Rural Development, showcased exemplary projects and approaches already launched by rural communities to embrace 21st century challenges and opportunities.

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Farming

Rural Wales in ‘the 4G Wilderness’

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#4GforAll: CLA Wales highlights digital divide

NEW DATA gathered by the CLA has shown what rural communities have suspected for a long time; that the mobile industry is willing to abandon rural areas to the digital wilderness.

Director Rebecca Williams says: “Our information has revealed that too few planning applications have been made for mobile phone masts in our rural counties to bridge the digital divide between the urban and rural community.

“Latest research has shown that a county such as Powys – which has appallingly poor mobile connectivity at less than 3 per cent – has seen just 13 mast sites applied for in the past 12 months, yet urban counties such as Cardiff have seen as many as 62 applications. Even a rural county, such as Monmouthshire, close to the urban centres of Bristol, Newport and Cardiff, has seen just two mast applications.

“With 5G on the horizon in 2022, progress needs to be better – and Wales must not be left in the boondocks. The rural community must not be excluded. Farms and rural businesses lack the digital service they need to be competitive. We must remember that this is not about resident population numbers, since mobile communication should be available to everyone everywhere.”

In February, the CLA asked Ofcom to force reluctant mobile network operators to improve coverage in rural areas by imposing a legally binding coverage target on their operating licenses. It called for EE, O2, Vodafone and Three to be required to deliver 4G coverage to at least 95% of the UK geographic landmass on all networks by 2022.

Rebecca Williams continues: “Three years ago, we were told that coverage would be delivered in the countryside and yet rural communities are still waiting. In the same period the mobile industry has extracted concession after concession from UK Government Ministers. They have got the new legal powers they wanted, on the basis that they are a utility service.

“Now they must be forced to deliver the universal service that a utility operator provides. We expect government and the regulator to take a tough line on this, and if Ofcom won’t then Ministers must step in.”

The CLA has highlighted Ofcom’s failure to push mobile network operators to achieve universal coverage for consumers. It is calling on the UK Department for Digital, Culture, Media and Sport to review Ofcom’s statutory remit and confirm that the body should prioritise working towards universal, quality mobile coverage for consumers.

“The mobile operators have no market incentive to improve coverage in these rural areas. It is absolutely clear that the only way they will deliver the coverage the countryside needs is if they are forced to do so. However rather than pushing them to achieve universal coverage for consumers, Ofcom is setting soft targets for rural coverage. As a result rural consumers face inadequate service and lack of network choice for years to come.”

Further information can be found at www.cla.org.uk/4gForAll and Ofcom’s 700Mhz spectrum auction proposal.

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