Farming

NVZ rules driving family farms out of business

Published

4 years ago

May 6, 2021

GLAMORGAN beef and sheep farmers Richard Walker and his partner Rachel Edwards run Flaxland Farm – a 120-acre beef and sheep holding just outside of Barry, Glamorgan. The couple say they will have to give up keeping cattle if current Water Resources (Control of Agricultural Pollution) (Wales) Regulations are not adjusted to incorporate recommendations made by industry stakeholder groups.

Richard and Rachel keep 35 breeding cows and 130 breeding ewes and are at the end of their tether.

“We’ve had a session with Farming Connect to see what we need to be doing, and it didn’t really tell us anything we didn’t already know, apart from that we have enough ground to cope with how much slurry we produce. So we wouldn’t have to export. But we would have to cover one of the existing yards, which is an awkward shape, plus cover where we scrape slurry to, and also put in a slurry store. Which we don’t have at the moment,” said Rachel Edwards.

“Judging on what the shed we had to put up recently has cost us, I don’t think we’ll have any change out of £50 thousand if we try to meet the requirements of the new regulations. 35 cows don’t bring in that sort of money. Where do you get that money from? And you still need to pay it back at the end if it’s borrowed. We’re looking at the kids probably still paying off what we’d spend. It would be far more stressful having to pay all that money back than getting rid of the cows.

“These regulations are going to have a huge impact on our farm business. If nothing is done to amend or annul what we are facing now, I’ll have no choice but to get rid of the cattle. Trying to comply with these regulations is just going to be too expensive for us,” said Richard Walker.

Cabinet Secretary for Energy, Planning and Rural Affairs Lesley Griffiths announced the plans in a written statement in November last year, after which it became apparent that the majority of the plans had simply ‘been cut-and-pasted’ from the Nitrate Vulnerable Zone (NVZ) rules currently affecting just 2.4% of Wales.

While the Welsh Government announced in January that £11.5 funding would be made available to help farmers comply with the new rules – an allocation it had already announced previously in September 2020 – this represents just 3% of the £360 million the Welsh Government’s own impact assessment estimates the costs could be for Welsh farmers.

“There’s clearly nowhere near enough money to go around, and the total estimated bill is more than Wales’ annual farming budget.

“The margins are tight on lowland sucklers as it is. We’re looking at spending tens of thousands of pounds to comply. Is it really worth it?” adds Richard.

At Flaxland farm the muck gets spread on around 30 acres of fields in September when the fields are clear and it is left for a couple of months to rot down and go into the ground before being used as grazing for the new season lambs.

“It saves us using artificial fertiliser. It’s organic fertilizer versus the artificial stuff which is £300 a tonne. We spread the slurry over winter, it helps the grass grow and we can turn the lambs and sheep out early. The spring lambs have fresh good grass and it hasn’t cost us a fortune in bagged fertiliser.

“I look at what it does to my ground – new season lambs have lush green grass, a couple of inches tall and they rocket on it. We can produce 12 week old lambs ready for slaughter on grass and milk with no concentrate. Without it, the grass wouldn’t be as beneficial to the new season lambs as it is now. There would be a shortage of grass around February and March. The way we do things here works in rhythm with all the livestock and the environment. We also deal with the carbon footprint of our produce by selling our lambs locally to I.G. Nicholas butchers in Cowbridge, which means they have very few miles to travel from farm to plate,” said Richard.

Being the third generation to farm the land, Richard says the farming system hasn’t changed much over the years and pollution here has never been an issue.

“I have had the cows all my life, my grandfather used to milk and they gave up milking in the 60s, and then we have had suckler cows ever since. The way we keep them hasn’t changed, back then it was open yards and they were fed on a concrete pad and whatever was left was scraped up and went out. It has never been an issue and we’ve never had a pollution incident here. The river near us has been tested many times and never comes back with any problems.

“I, like so many other farmers, take our responsibility to look after the environment, including our waters, very seriously. We have always been clear that one pollution incident is one too many and those who are guilty of polluting our rivers and watercourse should be held to account. Not many will argue with that. But to introduce these regulations across the whole of Wales, which goes against the recommendations the Welsh Government has received from their own task and finish group, beggars belief and will see many small and medium sized family farms go out of the cattle business,” he said.

Farming

Dairy farmers hit hard as average incomes plunge by up to 62%

Published

2 days ago

January 16, 2025

Tom Sinclair

DAIRY FARMERS in Wales have suffered a major financial blow, with incomes falling by 62% in real terms between April 2023 and March 2024, according to recent figures. Average farm business income during this period dropped to just £70,900—a significant decline from previous years.

FALLING MILK PRICES

The primary cause of this downturn has been a sharp reduction in farmgate milk prices. After record highs in 2022, milk prices fell dramatically in early 2023, leaving many farmers struggling to make ends meet. This drop in revenue has had a ripple effect across the sector.

RISING COSTS

At the same time, input costs for feed, fertilizer, and fuel have remained stubbornly high. Although there has been some stabilization in feed prices, the overall cost of production continues to strain farm finances. Many farmers report that rising costs are eroding already slim profit margins.

LABOUR CHALLENGES

Labour shortages have also played a role. The dairy sector, which relies heavily on skilled workers, has faced difficulties in recruiting staff, a problem made worse by post-Brexit immigration rules. As a result, many farms have had to pay higher wages, further cutting into their earnings.

REGULATORY BURDENS

Environmental regulations have added another layer of financial stress. Farmers have been required to invest in costly infrastructure, such as improved slurry storage systems, to meet new standards. While these measures aim to protect the environment, they have placed additional pressure on farmers already grappling with tight budgets.

UNPREDICTABLE WEATHER

Weather volatility has also contributed to the challenges. Unpredictable conditions have impacted forage quality and availability, affecting milk yields and increasing costs for supplementary feed.

CALLS FOR SUPPORT

Industry leaders are calling for greater support to help dairy farmers weather the storm. They are urging the government to provide relief measures and address the ongoing issues of market volatility and regulatory costs.

Farmers’ Union of Wales Deputy President, Dai Miles said: “The latest statistics on Farm Business Incomes in Wales demonstrate the economic reality of attempting to maintain levels of profitability against a backdrop of increasing costs and red tape.

“Dairy farms have seen significant declines due to both an average increase of 10% in overall farm business costs coupled with reductions in income.

“Across the board, however, the proportion of farm businesses in Wales generating a negative income continues to increase to over 20%. At the very least, this demonstrates the need for the future Sustainable Farming Scheme to offer an equal level of economic stability, currently provided through the Basic Payment Scheme, the maintenance of which for 2025 has been welcomed by the industry.”

LOOKING AHEAD

Despite the challenges, some industry analysts remain cautiously optimistic, suggesting that stabilizing milk prices and improved market conditions could provide relief in the coming year. However, without significant intervention, many fear that the sector may continue to struggle.

Dairy farming has long been a cornerstone of the Welsh economy, and the current crisis serves as a stark reminder of the need for robust support for this vital industry.

Farming

Farmers’ Union of Wales responds to Foot and Mouth case in Germany

Published

2 days ago

January 16, 2025

Tom Sinclair

THE FARMER’S UNION OF WALES has responded to reports of a confirmed case of Foot and Mouth disease (FMD) in Germany.

The disease was identified on 10 January in a water buffalo on a farm in Märkisch-Oderland, Brandenburg, marking Germany’s first case of FMD in nearly 40 years.

Foot and Mouth disease does not pose a risk to human health or food safety.

In response, the UK Government has implemented a ban on the import of cattle, pigs, and sheep from Germany. Additional measures include the suspension of import health certificates for live animals and fresh meat from species susceptible to Foot and Mouth disease.

Commenting on the development, FUW President Ian Rickman said:

“The recent case of Foot and Mouth disease in Germany will be a source of concern for livestock farmers across Europe.

The news inevitably brings back memories of the devastating impact the disease had on the agriculture sector and the countryside in 2001. This serves as a timely reminder of the importance of stringent border checks to prevent such diseases from entering the UK.

We welcome the proactive steps taken by the German authorities and the UK Government’s decision to ban livestock imports from Germany. As the situation unfolds, we will closely monitor developments and encourage livestock keepers to remain vigilant.”

Farming

West Wales dairy farm leads the way in sustainable agriculture

Published

2 days ago

January 16, 2025

Tom Sinclair

A Welsh farming family is making significant strides in reducing the environmental impact of their dairy business, achieving an impressive carbon footprint of 1.06kg CO2 equivalent (CO2e) per kilogram of fat and protein corrected milk (FPCM).

Roger and Catherine Howells, who run Blaengelli Farm in Whitland, attribute this achievement to years of investment in infrastructure and a steadfast commitment to high animal welfare standards.

Sustainable efforts and key milestones

The Howells family continues to evolve their sustainability journey, recently participating in an assessment funded by Lloyds Banking Group through the Soil Association Exchange. This comprehensive evaluation examined six critical areas: soil, biodiversity, animal welfare, water, carbon, and social impact. The resulting analysis provided the family with tailored insights to identify areas for further improvement.

“As part of our contract with our milk processor, we’ve taken part in sustainability audits for the past five years, so we’re pretty well versed in this area,” Roger explained.

“However, we saw this as an opportunity to build a full picture of the farm and thought it might support us in looking more closely at our soil health. The assessment considered soil pH, phosphate and potash levels, as well as copper and magnesium, which we hadn’t analyzed before,” he added.

Tailored action plan for improvement

The audit process provided Blaengelli Farm with a bespoke action plan, highlighting areas where environmental and operational efficiencies could be achieved. Farms undergoing this process are also signposted to funding opportunities to implement recommended improvements.

The Howells family scored particularly high in animal welfare, reflecting their focus on herd management and disease prevention.

However, their sustainability efforts have faced challenges. A recent TB outbreak forced the family to double their youngstock numbers to replace lost animals, increasing their replacement rate from 25% to 50%. Consequently, methane emissions rose, leading to an increase in their CO2e footprint to 1.27kg CO2e per kilogram of FPCM.

Tackling challenges with innovation

Despite setbacks, the Howells remain committed to progress. Measures to address their farm’s environmental impact include:

Introducing clover to reduce nitrogen inputs.
Applying farmyard manure to fields with low phosphate levels.
Planting deeper-rooting grasses and legumes to boost soil organic matter and carbon capture.
Adjusting soil pH to improve fertilizer efficiency.

“We’ve already started applying farmyard manure to low-phosphate and potash fields and plan to apply lime to fields that weren’t at the optimum pH at the time of testing,” said Roger.

A wider initiative for sustainable agriculture

The achievements at Blaengelli Farm are part of a broader effort by Lloyds Banking Group to support farmers transitioning to sustainable practices. By funding over 80% of farms participating in the Soil Association Exchange assessment, the bank is helping establish a robust environmental baseline for UK agriculture.

Lee Reeves, UK Head of Agriculture at Lloyds Bank, highlighted the importance of this partnership:
“The partnership between Lloyds Banking Group and the Soil Association Exchange is the most ambitious of its kind, focusing on building a holistic view of farming’s environmental impact.

“By providing farmers with the tools and finance they need, we’re helping the sector to adapt during a great time of change.”

This pioneering approach positions Blaengelli Farm and others like it at the forefront of the transition to sustainable agriculture in Wales and beyond.