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Farming

First Milk urged to meet with suppliers

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First Milk payment delay worries members: Meurig Raymond

First Milk payment delay worries members: Meurig Raymond

BOTH NFU Cymru and the FUW are urging First Milk to meet with their milk suppliers as a matter of priority. After faceto- face talks with the dairy cooperative, NFU President Meurig Raymond said information from First Milk to its milk suppliers was absolutely essential given the current situation. First Milk announced on Thursday (Jan 8) that it is delaying its next milk payment by two weeks, increasing capital levy contributions and recouping extra capital from farmers at a time when they are already under huge financial pressure. Mr Raymond said the timing of the announcement meant a serious burden for farmers and damage to cash flow at an expensive and demanding time of year for costs.

“It is paramount that the financial stability of First Milk is secured,” said Mr Raymond.“And as a farmerowned co-operative, I expect First Milk to arrange early meetings with their farmer suppliers, before their AGM at the end of January, to answer their urgent questions. Farmers need to have a better understanding of their options in order to develop a sustainable business plan. “Make no mistake, I have heard from members, some who are extremely anxious after yesterday’s news, and I have taken those views to the chairman of First Milk during discussions today.

“My priority is the impact of First Milk’s announcement on our members and I am working to ensure we are doing all we can across the Union to support our members at this crucial time. “Our policy team and group secretary network is working to support our members affected and we are taking lots of calls from worried members at CallFirst. To help with information to our members we have compiled a Q&A which is available on NFU Cymru’s website: www.nfucymru. org.uk.

“In the meantime we are holding ongoing talks with banks to ensure they remain supportive to dairy farmers at this crucial time”, he said. The FUW described First Milk’s decision as ‘another setback for a Welsh dairy sector’. Last year saw months of consecutive downward milk pricing by many major milk buyers including Arla, First Milk and Dairy Crest and a lengthy delay in milk price recovery now seems certain due to problems such as over supply within the global marketplace.

FUW president Mr Emyr Jones said: “The decision to postpone milk cheques by two weeks will have a significant impact and FUW First Milk suppliers are extremely concerned about the decision. Farmers are not in a position to defer paying their bills or direct debits so this decision places them in an untenable position. “The FUW is naturally anxious that a major collector of milk in Wales is experiencing cash flow problems and we have discussed our concerns with First Milk following the announcement. “The decision by First Milk to defer payments compounds the sustained low prices already experienced by dairy producers in Wales and adds to concerns about the volatility of the milk market and its impact on the viability of the sector.”

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Farming

FUW concern as UK sheep meat imports surge 

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THE FARMERS UNION OF WALES has expressed concern following the release of UK Trade figures which revealed a significant increase of sheep meat imported to the UK in 2024.

Data released by the UK Government showed the UK imports of sheep meat surged by 40% on the year, reaching 67,880 tonnes, marking the highest level since 2018.

Increased imports from New Zealand (an increase of 14,300 tonnes) and Australia (6,500 tonnes increase) now account for 86% of UK sheep meat imports, marking an increase from 78% in 2023.

Analysis by Hybu Cig Cymru (HCC) suggests a range of factors are responsible for the rise in imports, including lower prices from the Southern Hemisphere, new Free Trade Agreements, and a record level of deadweight prices in the UK.

Data by DEFRA also showed UK sheep meat production had declined by 7% in 2024, while UK beef production in 2024 increased by 4%.

Responding to the figures Alun Owen, Farmers’ Union of Wales regional vice-president said:

“The surge in sheep meat imports from New Zealand and Australia poses a very real threat that could undermine the livelihoods of Welsh sheep farmers and the sustainability of our rural communities.

The increased imports are perhaps unsurprising, and follow the Farmers’ Union of Wales’ longstanding warnings that previous governments’ liberal approach to trade negotiations with New Zealand and Australia could drastically undermine Welsh farmers and domestic food production.

Increasingly we are witnessing a potential displacement of high-quality Welsh and UK lamb – a product of world-leading sustainable farming practices – in favour of imports that have travelled thousands of miles.”

Gareth Parry, Farmers’ Union of Wales’ Head of Policy added:

“The tighter throughput of livestock across the UK reflects current confidence levels of the sector, whilst the resulting record-high prices are causing difficulties for processors and retailers across the supply chain which, in part, increases the attractiveness of cheaper imports.

In reality, however, inherent to the increase in food imports is a reduction in the UK’s food security, both through the displacement of domestic production and through additional reliance on food produced many thousands of miles away.”

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Farming

Farming Connect is looking for an exceptional, people-focused individual

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ARE you passionate about the future of the Welsh farming, forestry and horticulture sectors?  Do you have great people skills and a proven track record in terms of farming and business management?  Are you a successful entrepreneur with experience of innovative or diversified ways of working? 

Mentera, which delivers Farming Connect on behalf of the Welsh Government, is now seeking to appoint an inspirational new leader for the Agri Academy Senior (Business & Innovation) programme, Farming Connect’s prestigious personal development initiative, now in its fourteenth year. 

Confidence, skills and top-class credentials

“If you believe you have the confidence, skills and relevant land-based and business credentials to support, coach and guide future candidates as they embark on their individual personal development journeys, we want to hear from you,” says Farming Connect’s Head of Skills, Einir Davies.

The part-time, self-employed role, largely home-based, will include planning, arranging and facilitating an inspiring programme of workshops, training and study visits while building and fostering a trusting relationship with every participant, empowering each one to express themselves and fulfil their own personal and business ambitions.

Ms Davies explained that the leadership role offers immense job satisfaction and rewards, with the newest incumbent following in the footsteps of some of Wales’ most well-known and respected individuals.

Are you ready to lead, support and nurture the rural stars of tomorrow?

“With the activity-packed programme focused around three short but intensive study periods a year – usually in September, October and November – including an overseas study visit and a business management challenge based on an actual farm business, the Agri Academy commitment has proved enormously rewarding for all our previous leaders, fitting in relatively easily with their busy professional and family lives,” said Ms Davies.

Denbighshire farmer and businessman Llyr Jones – better known by his many friends, business contacts and mentees as ‘Llyr Derwydd’ – has headed up the programme since 2019. 

Having first taken part in the Agri Academy Business & Innovation programme as a participant in 2013, Llyr appreciates at first-hand what a unique and unrivalled experience it is for those fortunate enough to be selected.

“More than anything else, the businesspeople, mentors, coaches and new networks of friends and colleagues I met fuelled my drive and ambition for so many aspects of my life that I now take for granted,” says Llyr, who has a varied farming portfolio, including large-scale beef, lamb and poultry enterprises as well setting up Wales’ first rapeseed oil manufacturing company.

“Returning as the programme leader a few years later gave me an opportunity to give back in some way, and it’s been so rewarding to see so many people, from all sectors of the land-based industries, flourish and achieve so much.

“Being part of the Farming Connect Agri Academy is undoubtedly a life-affirming experience for both candidates and their leaders.

“This is your opportunity to mentor and support some of the up-and-coming rural stars of the future, the generation responsible for safeguarding the future sustainability and viability of Welsh farming – so don’t hesitate – apply today!” 

To apply for this contract send your CV and covering letter to einir.davies@mentera.cymru before 12pm on Friday 28 March.

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Farming

NSA shocked and angered by Defra’s removal of crucial farm support offering

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THE SHOCK announcement from Defra of its abrupt closure to its flagship environmental support payment, the Sustainable Farming Incentive (SFI), the National Sheep Association (NSA) fears will have disastrous consequences for farms.

Defra released the news that no new SFI applications will be accepted yesterday (Tuesday 11th March 2025) with no prior indication of its plans to do so.

In Defra’s words, the government could no longer run an ‘uncapped scheme with a finite farming budget’.

NSA is concerned many farming businesses still diligently testing and checking how SFI options would impact or complement their sheep system will now have fallen through a crack in payments between the reduction of the Basic Payment Scheme (BPS) and SFI being stopped.

In response, NSA Chief Executive Phil Stocker says: “This latest Defra announcement feels disastrous – a word I don’t use lightly. I’m seriously concerned many farms will now face 2025 with an accelerated decline of BPS income – and no access to SFI which for most farmers will be the main plank to replace that money.

“Whether we like it or not many farms are financially dependent on government-funded income streams and, with this SFI suspension, and a whole range of other financial pressures, it feels like we are approaching our ‘New Zealand moment’ with a potential restructuring of our farming industry and the phasing out of agricultural support.

NSA considers the shock move indicates poor scheme design and management and is in disbelief how Defra has arrived at this position and not stepped in to manage it earlier.

Mr Stocker continues: “SFI was intended to be a non-competitive scheme which suggested it would be available for all with no cut off point. The Government’s target was for more than 70% of land and 70% of all farms to be covered by 2028. However, the SFI scheme has stopped at little over 50% of farms, with less than 38,000 agreements live.

“The stop/start nature of these funding streams is disastrous and will lead to farmers becoming completely disillusioned with their engagement with Defra and the Rural Payments Agency (RPA). It was only a week ago the capital grants restarted and now, with no advance warning, the main plank of BPS replacement for many farms is being taken away.

“Upland and lowland farms that are not yet part of SFI, but that were intending to be this year will be seriously affected. For many in the uplands when considering this latest removal of support with the decline of BPS, the situation could be life changing. Cash flow on these farms in 2025/26 will be seriously compromised and there will be a question over how supportive the banks will be and whether farms will be able to climb out of the financial hole this will leave.

“For all the co-design and warm words that Defra want a different relationship with industry – this will just about destroy all that has been built over the last five years. Coming back from this will be hard.”

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