Farming

FUW sets out its key priorities at the Royal Welsh Show

Published

6 months ago

July 19, 2024

THE Farmers’ Union of Wales has set out its robust asks of the UK and Welsh Governments despite the challenges presented by navigating through a constantly changing political landscape.

Speaking at the Royal Welsh Show this week, FUW President Ian Rickman reiterated the fact that the Union’s stance remains constant and relentless in an ever changing political arena.

“Welsh farming is at an important crossroads which will determine our future for decades to come. Whilst our direction of travel depends heavily on the development of devolved agricultural policies, we must not forget how decisions made by the newly elected UK Government will effectively determine the degree of funding the Welsh Government has available to support agriculture and rural development.

“This, in turn, will have an impact upon the extent to which Welsh food producers can be expected to compete against producers in other UK nations and across the globe on various levels.

“Despite these challenges, our focus as a Union is to keep-on lobbying governments relentlessly for the best possible outcomes for our members, Welsh agriculture and our rural communities.

“The recent Senedd Cabinet reshuffle and UK General Election certainly brought about considerable change to the political landscape in Wales, not least the appointment of Huw Irranca-Davies MS as Cabinet Secretary for Rural Affairs and a new UK Labour Government holding a majority at Westminster.

“However, turmoil in Cardiff persists as Vaughan Gething’s resignation leaves the door wide open for yet another reshuffle within a matter of a few months.

At a UK level, the FUW is calling for a fair, multiannual funding settlement of £450 million per year in EU Common Agricultural Policy (CAP) legacy funding for agriculture and rural development in Wales.

“The role of this support in underpinning food production, environmental protection and rural communities in Wales cannot be underestimated.

“We also need to see a far more robust approach to future trade deals with other countries and trading blocs if we are to protect Welsh farmers and UK food security. Food imports and exports must be subject to the same customs and adherence to similar standards if we are to provide a level playing field for both UK and EU producers.”

The FUW is calling for incentives and support for farmers to invest in on-farm renewable energy production that benefits local communities. Food production should be recognised as a national asset and the use of productive agricultural land to meet tree planting and other environmental targets should be halted.

Procurement policies must prioritise public sector support for Welsh and British businesses, recognising the range of benefits such properly designed policies can deliver for society. The newly elected UK Labour Government must also protect and promote the UK’s high animal health and welfare standards and bring in a law that ensures that all dogs should be kept on a lead in fields near or adjacent to livestock.

“Despite the uncertainty in Cardiff, we call on the Welsh Government to build strong relations with the newly elected UK Labour Government to ensure that Welsh agriculture receives the attention it deserves. EU CAP legacy funding allocated for Welsh agriculture and rural development must be protected for this purpose and such funding should continue to be co-funded using national funds.

“The ongoing process of negotiating a revised Sustainable Farming Scheme that provides stability for our food producing family farms must also continue if the scheme is to be implemented in 2026. It is crucial that the scheme considers economic, social and environmental sustainability on equal footings and is accessible and achievable for all active farmers in Wales.

“We also want to see the adoption of practical and innovative technological solutions as a central part of the Control of Agricultural Pollution ‘NVZ’ Regulations review. The process must be based on robust data and evidence while seeking to address water quality issues through innovation rather than regulation.”

Mr Rickman added that the Welsh Government has to, now more than ever before, adopt a scientific and holistic approach to bovine TB eradication in Wales by working with the Technical Advisory Group in investigating the effectiveness of current testing regimes and methods for addressing disease transmission by wildlife.

“Finally, moves towards net zero must be sustainable and based on robust science in such a way that actions carried out in response to short-term targets are not reversed. Reducing our carbon footprint must be manageable and realistic, and must not compromise production or the economic viability of farming businesses.

“The coming days are a celebration of Welsh agriculture and the farmers who continue to produce high quality food and protect the environment against a constant backdrop of political uncertainty and challenge.”

Mr Rickman said that the impacts of such uncertainty across the UK and some fundamental policy questions would be the focus of the FUW’s seminars being held over the coming days, as panels of professionals tackle a diverse range of areas of concern for Welsh farming.

“As always, in addition to these events, our staff and Presidential Team will be meeting officials and stakeholders in order to highlight FUW’s farming members’ good news stories and industry concerns. Rest assured, despite navigating a constantly changing political landscape, our constant and relentless stance remains; to represent the interests of Welsh farmers,” concluded Mr Rickman.

Farming

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

Published

18 hours 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

22 hours 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

23 hours 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.