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Farming

First Milk prices cause concern

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Troubled co-operative: First Milk.

Troubled co-operative: First Milk.

THE ANNOUNCEMENT of further price cuts by dairy co-operative First Milk has caused consternation amongst its members. Hardest hit will be the liquid milk or balancing suppliers who will see a 1.2ppl decrease taking their June A volume milk price to 19.3ppl.

The co-operative say they will bring in end product pricing from June meaning that the prices paid to their members across the UK will differ according to geographical location and end use. First Milk members supplying the Haverfordwest creamery in Pembrokeshire will be the only ones to see a positive movement of 0.3ppl with all others seeing a price decrease from June.

A programme of significant cost reductions across the business announced by new First Milk CEO Mike Gallacher includes proposals for up to 70 job losses and a new approach to milk pricing within its milk fields that links local milk prices to the value generated.

As part of the ‘turnaround’ plan, First Milk is cutting 70 jobs mainly at its HQ and in support functions while there will be a new focus on UK contracts and customers and less focus on exports.

NFU Cymru Milk Board Chairman Aled Jones said: “While I understand that new Chief Executive Mike Gallacher and the First Milk board have had to take drastic and decisive action to secure the longer term sustainability of the business, this news on milk prices brings little or no comfort to some members across Wales and England who have supported them over the years. The headline A price of 19.3ppl for the balancing supply doesn’t take into account the 2ppl capital investment requirement that came into force in January nor the fact that this is only paid for 80 per cent of the milk supplied. The actual milk price received by these farmers will be far worse and I would implore on First Milk to do all they can to increase both the A and B price for these farmers. We all want to see a secure future for First Milk but this should not be done at the expense of their members. I, and my board, have spoken to a number of them who feel they have no other option but to leave the industry. First Milk’s management team need to confirm at the forthcoming member meetings the whole range of actions that they are doing to put the business on a more secure footing. This must not just be about cutting the milk price. We welcome the announcement today of an independent review of the business – the recommendations are to be presented to members before the summer. We look forward to this painting a full and clear picture of what has happened in recent times and help explain the rationale for the turnaround strategy. We have already been in touch with First Milk and dialogue will continue to understand the rationale behind this latest price movement, and to seek clarity on their long term plan.”

A statement from First Milk read: ‘To ensure that the business is financially robust through the restructuring process, the First Milk Board has agreed a £3.3m reduction in member payments’.

Mike Gallacher, CEO, said: “None of the decisions announced today have been taken lightly, but they are necessary steps in the process of rebuilding a secure and stable future for First Milk, its members and its employees. As a team, our aim will be to provide every support for those impacted in the coming months. First Milk plays an important role in many rural communities across the UK and continues to value the support it has received from all our stakeholders. Our strategy is aimed at continuing to restore the health of First Milk so that we can support those communities through delivering better prices for their milk.”

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Farming

Top biosecurity tips from a Welsh farmer on protecting cattle from TB

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A DAIRY farmer managing a chronic bovine TB breakdown has eliminated a major disease threat to his herd by no longer buying in cattle.

Michael Williams is one of 15 farmers involved in the Pembrokeshire TB pilot, a Welsh Government initiative which aims to develop additional measures for bovine TB control, over and above the statutory actions currently being used.

Sharing his progress with other farmers at a recent Farming Connect event, Mr Williams said there is much that every farmer can do to protect their herds from TB.

He has introduced multiple biosecurity measures, including running a closed herd.

He milks 150 cows on a robot milking system at Fagwrfran East, Puncheston, and had sourced cattle from livestock markets but this came with the risk of importing TB.

“We had already stopped buying in cattle before becoming part of this project but we have since become a truly closed herd, we don’t even buy a stock bull,’’ Mr Williams explained.

Cameras were installed to establish if badgers were coming into contact with cattle in the yard and housing and with food and water sources.

None were detected but there were obvious physical signs of activity in fields and on cow tracks.

One and a half miles of badger-proof fencing has since been erected along a hedge with a high number of setts and latrines, to separate these from the stock.

Mr Williams has introduced other measures too:

Creating a remote fallen stock area

The fallen stock collection point had been situated on a part of the farm which compelled a vehicle to cross the yard to collect carcasses.

This facility is now located in a contained area of a building that sits closest to the road and can be completely sealed off from wildlife.

Erecting electric fencing along the maize clamp

Although the farm has no feed bins vulnerable to wildlife, its open maize clamp is a potential risk at feeding out.

Mr Williams erected a simple deterrent, filling two redundant 20-litre dairy chemical drums with sand, placing these at each end of the clamp face and running polywire from one to the other, hooked up to a solar-powered energiser.

“This cost about £20, took ten minutes of my time and prevents badgers from interfering with the feed,’’ he said.

Restricting visitor numbers

Unplanned visits by sales representatives and others are now discouraged.

Visits are by appointment only and a sign has been placed at the farm entrance advising of this policy.

Vehicles coming onto the farm must be clean.

Draining unused water troughs

In-field drinking water troughs that are not used in the winter when the herd and youngstock are housed are drained and remain empty until turnout.

Water troughs in use are cleaned weekly.

Reducing reliance on farm contractors

Investment has been made in slurry application equipment to remove the need for hiring contractors for this job.

Keeping cattle accommodation walkways clean

The frequency that feed passages in the cattle housing are cleaned has increased to minimise the period that slurry pools in these locations.

Adopting the highest level of hygiene at calving 

Matting similar to cubicle bed mattresses has been laid in a dedicated calving pen to allow the floor to be thoroughly pressure washed and disinfected between calvings.

Providing footwear disinfection points

Containers of disinfectant solution are positioned around the yard to allow footwear to be disinfected in between contact with different classes of stock

Increasing intervals between slurry application and silage harvesting

Although Mr Williams operates a multi-cut silage system, he has increased cutting intervals from four weeks to five and applies slurry to the aftermath at the very earliest opportunity, the day after the grass has been collected from the field.

Other measures

In addition to rolling out biosecurity measures, Mr Williams has been culling animals which have been identified as at high risk of contracting or spreading TB, flagged up on a ‘risk rating’ list through an app developed for the Pembrokeshire TB pilot.

Any cow in the two highest risk categories – in this case red or amber – is sold as barren.

“Being more proactive with culling, choosing when an animal leaves the farm rather than being in a forced situation as a result of a TB test, is a better option in many ways,’’ said Mr Williams.

If an animal falls into a ‘yellow’ band, the lowest of the three risk categories, but is nonetheless a risk, she is bred to a terminal sire to ensure that no female replacements enter the herd.

In 2024, 35 of Mr Williams’ cows exited the herd based on risk rating results.

“There is short term pain in getting on top of the residual disease but I am confident that we will reap the rewards a few years down the line,’’ he maintains.

“If we can get down to two or three per cent risk rating, we will be in the realms of being on top of the disease rather than the disease being on top of the herd.’’

He believes this system is working.

“In December 2024 the risk rating was 7% compared to 11% in January 2024 so this is a start, we think culling is working.’’

Mr Williams also emphasised the importance of making time to discuss biosecurity and disease risks with the farm vet.

“Don’t do this while the vet is TB testing or on the farm for another reason, set aside a dedicated time to have a proper discussion,’’ he advised.

He credits his vet, Rhiannon Lewis, of Gwaun Vets, with supporting him through this process. “We have worked together on this,’’ he said.

PANEL

The Farming Connect event was hosted by Rhys Lougher at Ty Tanglwyst, a dairy farm near Pyle.

Mr Lougher’s 120-cow herd of pedigree Holsteins has been free of TB for many years.

He too has high levels of biosecurity and benefits from his farm being largely remote from cattle on other holdings and protected by hard boundaries including roads and limestone quarries.

Only sexed semen is used for breeding and no cattle have been bought in for 40 years.

Mr Lougher has his own slurry tanker and muck spreader to avoid use of contractors.

“A big part of our business is selling high health status, freshly calved, pedigree Holstein heifers to other dairy farms, the wish to continue to do this is our main driver for wanting to keep TB out of our farm,’’ he said.

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Farming

Ceredigion farmer’s plea to build bungalow on his own land

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A CEREDIGION farmer’s call to convert a derelict building last occupied in the 1930s as a downsizing home on land he has farmed all his life has been put on hold while planners visit the site.

At the February meeting of Ceredigion County Council’s development management committee, members were recommended to refuse an application by Mr and Mrs I and A Evans, of Fronlwyd, Llangrannog to erect a dwelling, agricultural shed and associated works on the site of the nearby abandoned dwelling at Fronlwyd/Pen-yr-Allt, just over a mile from Llangrannog, which was last occupied in 1936.

It was recommended for refusal on grounds including it was “unjustified new housing in open countryside”.

Giving an impassioned plea to be allowed to build the bungalow, Mr Evans, who warned he was “not a big fan of public speaking,” said: “I have farmed the land all my life, I live in a five-bed house, just me and the wife, we’re getting older.

“We want to build a bungalow just so we can future-proof as we get older; I don’t want to leave the land I’ve farmed all my life, I like being out in the fresh air and listening to the birds and the animals.”

He said there was more of the ruined building present when he was a child, the building declining after “years of not being looked after”.

He told members he wanted the site to go back to “what I remember as a kid”, adding: “In the olden days they knew how to build houses, it’s in a little dip and only visible from one direction, it’s ideally situated.

“I would look after the land and me and my wife in our old age; I just want to satay there, that’s where I’ve lived all my life, and I want to stay there.”

A site inspection panel visit before any decision was made was proposed by Cllr Gareth Lloyd, with Cllr Maldwyn Lewis saying: “In my mind heritage is important for Ceredigion, the backbone of the fabric of the community.”

Members unanimously backed a site inspection panel viewing of the application, the application returning to a future meeting.

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Farming

Farming funding fears as Welsh government warns of major cuts

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A CHANGE in the UK government’s approach to funding for Welsh agriculture has sparked serious concerns, with First Minister Eluned Morgan warning that the shift could see Wales lose nearly £150m a year in farm support.

Concerned for farmers: First Minister Eluned Morgan MS

The Farmers’ Union of Wales (FUW) has cautioned that the funding formula change could amount to a cut of more than 40%, raising alarm across the industry. The UK government has decided to stop ring-fencing farm support, meaning future allocations will be absorbed into the general funding provided to the Welsh government.

Morgan, addressing MPs at Westminster’s Welsh Affairs Committee, said the move was “a huge concern” and argued that it fails to reflect the higher proportion of farmers in Wales compared to other parts of the UK.

Funding shake-up

The change, first announced in last October’s UK Budget, will see farm funding calculated under the Barnett formula, which determines the Welsh government’s overall budget. Under Barnett, Wales receives around 5% of spending increases in England for devolved matters like health and education, but agricultural leaders argue that this method does not take into account the unique demands of Welsh farming.

Morgan, leader of Welsh Labour, told the committee: “If you just do a Barnett consequential, you’re talking about a 5% [increase], whereas, actually, when it comes to agriculture we should be significantly higher than that.

“It is a huge concern that this has been changed.”

Political pressure mounts

Plaid Cymru’s Westminster agriculture spokesperson Ann Davies said the UK government had failed to provide clarity on how Wales’ higher proportion of farmers would be considered under the new system.

“The Labour first minister now expressing concerns only reinforces the urgency of this issue,” she said. “The UK government must guarantee that Welsh agriculture will not lose out in the future.”

A UK government spokesperson defended the changes, saying: “The Budget provided the Welsh government with a record £21bn settlement, and it receives over 20% more funding per person than equivalent UK government spending.

“It is for the Welsh government to allocate this across its devolved responsibilities, which include agriculture, to deliver on the priorities of people in Wales and support the Welsh rural economy.”

Wider economic worries

During the committee session, Morgan also raised concerns over potential new tariffs on steel imposed by former US President Donald Trump. The proposed 25% import tariff could threaten Welsh steel exports, with the first minister revealing she had already discussed the issue with Chancellor Rachel Reeves.

“I’m sure we are all very concerned to see what President Trump is suggesting in terms of steel tariffs, and we don’t know where that is going to end,” Morgan said.

The first minister is later due to attend a dinner at Windsor Castle hosted by the King, alongside UK Prime Minister Sir Keir Starmer and the first ministers of Scotland and Northern Ireland.

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