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Farming

Market volatility hitting family farms

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REBECCA EVANS AM – Deputy Minister for Farms and Food, visited the Haverfordwest Creamery to better understand the challenges facing the dairy sector and the plans that farmer-owned First Milk have in place for the future.
Haverfordwest Creamery processes the milk from nearly 300 local dairy farmers, who are all co-owners of the factory and located within a radius of 50 miles.
After completing a factory tour, which included speaking with local employees and a local farmer representative, the Deputy Minister said:
“In the last 12 months we have witnessed volatility and low prices in dairy markets around the world, which has had a direct impact on family farms across Wales. We are working closely with the industry, through our Dairy Task Force, to increase the demand and add value for Welsh milk and milk products.
“I believe that well-invested farmer-owned facilities, such as this creamery in Haverfordwest, are vital to the long-term vision of an efficient and sustainable dairy sector in Wales. One which delivers benefits for the wider rural economy.”
First Milk’s site director at the creamery, Paul Rowe commented: “Haverfordwest Creamery creates approximately £70 million of economic activity per year in West Wales. It processes over 260 million litres of local milk and turns it into 28,000 tonnes of award-winning cheeses, with over 100 local people employed in our cheese making and distribution operations.
“Haverfordwest Creamery is one of the most efficient in the UK and a large proportion of the investments we have made, over the last few years, have only been possible with the support of the Welsh government.
“Dairy markets are very tough right now and dealing with this is our immediate priority. However over the longer-term we firmly believe that the Haverfordwest Creamery is well placed to take advantage of the growing global demand for dairy products. We will continue to work closely with the Welsh government in developing these opportunities for the benefit of our local farming members and owners.”
Addressing the annual DairyCo conference at the University of Aberystwyth the following day (Friday, March 6), Rebecca Evans, announced the completion of the Welsh Dairy Review.
In October, the Deputy Minister announced she was commissioning an independent review of the Welsh dairy sector. She asked Andy Richardson, a member of the Dairy Task Force for Wales, to lead the review, which was commissioned in response to difficulties faced by dairy farmers last autumn, as well as an opportunity to review the voluntary code which had been in operation for two years.
She recently received the final report from Mr Richardson, who categorised his recommendations under five key headings: Leadership, Market Focus, Efficiency, Knowledge and Skills and the Environment.
The Deputy Minister said: “One of the things that has particularly concerned me about the recent cut in the price of milk is the impact on confidence and the possible knock-on effect this could have on investment within the sector.
“Andy Richardson’s review suggests that the mood, both amongst farmers and processors, may be more positive than perhaps is being portrayed and that is good news – without continued investment the future will look very bleak.
“As the price paid for milk continues to fall, many farmers and processors in Wales continue to operate under extremely challenging conditions on a daily basis, as the industry faces a very difficult period, one fundamentally driven by an over-supply.
“I am however confident there is a secure and profitable future for dairy in Wales. As I have said many times before, we have the land, the animals, the labour and the infrastructure. Evident from Andy’s review is that we also have the commitment, the passion and the willingness to change and to adapt that will see us through our current difficulties.
“It is so important to me that we continue to support the sector by taking on board the views of those working within it, and help to grasp the opportunities that exist.
“Following discussions with farmers and processors across Wales, Andy has been able to provide a vision of the future for the whole of the dairy sector which sets the direction for a more sustainable industry in the future.
“I would like to thank Andy for his work, undertaken in such a short period of time. I expect to publish the report, alongside the Welsh Government’s formal response, in the form of an action plan once I have given it due consideration.”
The Dairy Review was intended to draw on the work already undertaken by the Dairy Task Force but looked wider, taking views from all parts of the supply chain. It also considered what support the RDP 2014 – 2020 may provide to dairy farmers and the milk processing sector in Wales.
Meanwhile at Carmarthenshire’s recent NFU-Cymru conference, NFU President Meurig Raymond assured union members that the NFU was doing it all it can to assist its milk producing members get through the current price volatility when he spoke at the recent Carmarthenshire NFU Cymru conference.
Mr Raymond explained helping farmers within the milk industry was the Union’s top priority at present. He said he has met with the leading banks to ask them to help farmers at this difficult time. He has met with Government to discuss tax concessions. They’ve given evidence to the Efra Committee asking for more powers to the Groceries Code Adjudicator. The NFU has spoken to milk buyers, particularly First Milk. Mr Raymond also told those present how he has personally had some very difficult meetings with the major retailers and has had some assurances that they will stock more British dairy products in the future.
Mr Raymond said, “We are grateful to shoppers for the positive messages we’ve received as dairy producers and pleased that so many consumers have come out and backed British dairy farmers at this time. We’ve been inundated on social media in particular by shoppers wanting to know where they should buy their dairy products to help us most. In response we have said that shoppers have to check the labels to make sure they are definitely buying British produce – not something that looks British. The Red Tractor mark is a good quick indicator. I would like to take this opportunity to thank the British public for all their support at this time.”

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Farming

First Minister to address FUW’s AGM

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Glyn Roberts: Welcomes First Minister to conference

THE FARMERS’ U​NION OF WALES is looking forward to welcome First Minister Carwyn Jones as the keynote speaker at its annual general meeting, which is taking place on Monday, June 18, at the William Davies Suite, IBERS in Aberystwyth.

The event is due to start at 1​:​30pm with a warm welcome from FUW President Glyn Roberts, which will be followed by a question and answer session on Brexit and #FarmingMatters.

Speaking ahead of the AGM, Glyn Roberts said: “We look forward to welcoming the First Minister to our AGM, which is likely to be his last engagement with the FUW in his current role.

“It promises to be a great afternoon of farming matters discussions, with a strong focus on agriculture in Wales post-Brexit, as well as #FairFarmFunding and I hope to see many of you there.

“And as is tradition we will also be revealing the winners of the FUW Owen Slaymaker Award, FUW New Members Award, and the FUW Long Service Award, in addition to a variety of FUW Insurance Services awards.”

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Farming

Manifesto sets Brexit agenda

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Industry presents united voice: Tariff-free trade a priority

LEADERS of over 100 organisations from across the nation’s food supply chain have put their names to a manifesto setting out the key principles that can help ensure Brexit is a success for the supply of food in the UK.

The UK Food Supply Chain Manifesto, has been drawn up by organisations representing farmers producing the raw ingredients and their suppliers, right through to manufacturers and retailers. It sets out the need for positive outcomes on trade, labour, regulation and domestic agricultural policy.

With little more than 10 months to go before Brexit, the manifesto emphasises the importance of ensuring our departure from the EU does not undermine the food production and supply sectors in the UK.

The manifesto has been sent to the Prime Minister by NFU President Minette Batters on behalf of the signatories, as well as other key cabinet ministers.

Mrs Batters said: “Today we are presenting a united voice as a food and farming sector worth at least £112bn to the UK economy and employing around 4 million people; a food and farming sector that meets 61% of the nation’s food needs with high-welfare, traceable and affordable food; a food and farming sector that cares for three-quarters of the iconic countryside, that, in turn, delivers over £21bn in tourism back to our economy.

“In the manifesto we warn, as a collective, that a Brexit that fails to champion UK food producers, and the businesses that rely on them, will be bad for the country’s landscape, the economy and critically our society. Conversely, if we get this right, we can all contribute to making Brexit a success for producers, food businesses and the British public, improving productivity, creating jobs and establishing a more sustainable food supply system.

“When it comes to the nation’s ability to produce food, we believe it is critical that the different elements of Brexit are carefully considered by all Government departments – including the Prime Minister who has herself spoken about the importance of supporting our sector through Brexit in recent days.

“As we enter this critical period in the Brexit negotiations, the signatories to this manifesto will be looking to Government to ensure its objectives are aligned with ours to ensure British food production – something of which every person in this country enjoys the benefits – gets the best possible deal post-Brexit.”

One key objective in the manifesto appears likely to run headlong into so-called ‘red lines’ set by the most enthusiastic of Parliamentary Brexiteers, who appear happy to countenance a future for food and farming in which small farms and the rural enterprises which depend on them are swept away in a torrent of chlorinated chicken and hormone-treated beef.

The report states: ‘The UK and the EU27 will continue to be each other’s most important trading markets in food and drink. In 2016, 60% of UK exports and 70% of UK imports in food, feed and drink were with countries in the EU.

‘Working towards a mutually beneficial trade agreement is a clear priority for the UK food supply chain, one which guarantees tariff-free trade and with as limited a number of non-tariff restrictions as possible. It is imperative that the EU and UK reach an agreement that maintains continuity in existing trade arrangements as far as possible, including the avoidance of a hard border in Northern Ireland’.

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Farming

Avian Influenza Prevention Zone ends

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Restrictions removed: Lesley Griffiths, Cabinet Secretary

CABINET S​ECRETARY​ for Energy, Planning and Rural Affairs Lesley Griffiths has confirmed that the All Wales Avian Influenza Prevention Zone will be lifted with effect from Friday, May 25.

The Cabinet Secretary has taken this decision based on an updated veterinary risk assessment conducted by the Animal and Plant Health Agency (APHA) which found the risk of incursion from wild birds has reduced from High to Low. Similarly, the risk to poultry is also Low.

The Prevention Zone was introduced on January​ 25​ to mitigate the risk of infection following three separate findings in England of Highly Pathogenic Avian Influenza H5N6 in Wild Birds.

In Wales, there has been only one finding in a wild bird this year. There have been no cases of H5N6 avian influenza in poultry in the UK this year and the poultry sector retains its OIE disease free status.

Cabinet Secretary said: “In January, I took action and declared the whole of Wales an Avian Influenza Prevention Zone in response to Highly Pathogenic Avian Influenza H5N6 findings in England. This was a precautionary measure to minimise the risk of infection to poultry here in Wales.

“We have since been monitoring the situation closely and the latest risk assessment by APHA has concluded that the risk has reduced from High to Low for wild birds and the risk to poultry is also Low.

“Based on this evidence-based veterinary advice I am pleased to announce that the current All Wales Avian Influenza Prevention Zone will come to an end with immediate effect. Whilst this is welcome news it is important to remember avian influenza remains a constant and real threat to our poultry and other captive birds.”

Chief Veterinary Officer for Wales, Christianne Glossop added: “I cannot stress enough the need for all keepers of poultry and other captive birds to remain vigilant for signs of the disease and to continue to practice the very highest levels of biosecurity.

“If anyone suspects disease they should contact the Animal and Plant Health Agency immediately. Also, we can all play a part in supporting the ongoing surveillance by reporting any findings of dead wild birds to the GB helpline.

“I would also like to remind all poultry keepers with 50 birds or more they must register their flocks on the Poultry Register and strongly encourage all poultry keepers, including those with fewer than 50 birds, to register. This will ensure they can be contacted immediately, via email or text update, in an avian disease outbreak, enabling them to protect their flock at the earliest opportunity and minimise the spread of infection.​”​

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