Farming

Dairy Crisis Update

Published

10 years ago

February 9, 2015

IN THE FACE of the current dairy crisis, the Farmers’ Union of Wales is once again calling on major UK supermarkets to commit to the procurement of Welsh dairy produce, and to ensure that the prices paid for dairy products are such that confidence in the long term future of the sector is revived.

Speaking after a recent FUW milk and dairy produce committee meeting, chairman Dai Davies said: “The FUW has written to the leading supermarkets in the UK to highlight that last year saw many months of consecutive downward milk pricing, which has caused major problems for the sector.

“Whilst some forecasts predict a decline in global milk supplies in the latter half of 2015, the Russian trade embargo, coupled with reduced demand in China and a weak economic environment, will likely delay price rises beyond any potential downturn in production.”

According to figures supplied by Defra, the average November UK farm-gate milk price was more than 16 percent lower than the same month in 2013 and is the lowest farm-gate price since September 2012.

“The falling dairy prices experienced by producers in Wales raises significant concerns within the dairy industry, and a lengthy delay in milk price recovery now seems certain due to a continuing supply and demand imbalance within the global marketplace.

“Factors such as low milk prices, poor profitability and long-term uncertainty in the sector have severely undermined confidence in the long term sustainability of this industry; the very nature of which requires a long term commitment and investment from producers,” added Mr Davies.

Whilst the Union recognises that dairy farmers supplying supermarkets on a dedicated supply contract have received more favourable milk prices, such farmers represent only a small fraction of the Welsh dairy sector – around 4 percent of production – and are therefore unrepresentative of the industry as a whole.

“Failure to secure commitment by providing sustainable prices for dairy should be a major concern for all those within the supply chain. Between January and September 2014, UK dairy imports of cheddar cheese, speciality cheese and butter were around 77,000, 271,000 and 42,000 tonnes respectively and the union is therefore urging the supermarkets to ensure that a concerted effort is made to source dairy products from within our own shores,” added Mr Davies.

However, Sir Jim Paice MP, head of dairy co-operative First Milk said that supermarkets were not wholly to blame for the crisis.

“It is tempting to blame the supermarkets for the current downturn in milk price we’re experiencing but I have to say, as Chairman of First Milk, the crisis that we’re seeing today in the milk industry is not really the supermarkets’ fault,” said Sir Jim Paice, when speaking to NFU Cymru members in Pembrokeshire recently.

Sir Jim continued, “I believe the fundamental problem with the dairy industry at the moment is that there is too much milk on the market. We have seen an approximate increase of 10% of milk produced in the UK alone this year. That has been exacerbated by two things, China dramatically reduced its purchase of milk powder and then Russia introduced its trade ban, which included dairy products. With a third of EU cheese exports going to Russia – that was the final straw and that’s why our milk prices are where they are.

“It has resulted in a very serious situation throughout the country at the moment, particularly here in south west Wales where milk is obviously a hugely important industry.” Sir Jim Paice informed Pembrokeshire NFU Cymru dairy farmer members who attended the meeting.

He used the meeting to assure those farmers that supply First Milk that the co-operative was here to stay and everybody is getting paid for the milk they have produced. He insisted that First Milk was in a very very strong position now, the strongest it has been for many years, and it should be strong enough to withstand the volatile next few months ahead.

John Davies, NFU Cymru Deputy President and Euryn Jones, Agriculture Manager for HSBC Bank, the conference’s sponsor, both agreed with Sir Jim that we were witnessing extremely volatile times at the moment in dairy, as well as other sectors of farming, and both agreed NFU Cymru and the bank were there to help assist members and customers any way they can to get them through the volatility. John Davies said, “What we all want is a fair price from the market place for what we produce.”

Sir Jim is currently the Conservative’s Member of Parliament for Cambridgeshire but he is due to stand down at the forthcoming General Election this spring. A Suffolk farmer, farm manager and training manager, Jim Paice was in the position of Minister of State at the Department for Environment, Food and Rural Affairs in 2010 when negotiations first started on the current CAP reforms.

Reflecting on his time as Minister he said that we’ve ended up with a Common Agricultural Policy (CAP) which is pretty similar to what was originally proposed. He explained, “I’m not saying that means the first proposals were right, what I’m saying is that it was very difficult for 28 very different countries to agree. Discussions were impossible when each Minister from each Member State was given just three minutes to give their views on the proposals. It ended up with each Minister giving set speeches – not a discussion!”

Simon Richards, NFU Cymru’s newly elected Chairman for Pembrokeshire, and a dairy farmer from Haverfordwest, thanked all the speakers at the County Conference, particularly Sir Jim Paice MP, for his insight into the current situation at First Milk and his time as Defra Minister. Mr Richards also thanked HSBC Bank for its generous sponsorship of the event.

Crime

Police offer advice after 60 reports of stolen quad bikes from farms

Published

14 hours ago

November 23, 2024

Tom Sinclair

DYFED-POWYS POLICE is advising the rural community to make sure security measures are in place to protect quad bikes and other farm equipment, in response to a spate of thefts.

There have been over 60 reports of stolen quad bikes across the force in 2024.

Farmers and other owners of quad bikes are reminded to be vigilant of suspicious vehicles and people in their community and to report any concerns to police.

Dyfed-Powys Police has acquired 150 SelectaDNA Rural Kits to support their efforts in combating rural crime. These advanced DNA asset-marking kits will be used to offer free property marking services to farmers, helping them protect their valuable equipment and machinery.

In addition to property marking, our Rural Crime Team officers, who are also qualified Crime Prevention Tactical Advisors (CPTAC), will visit farms to conduct comprehensive crime prevention audits. These audits are designed to ensure farms have the best security measures in place to deter criminal activity and safeguard their livelihoods.

The SelectaDNA Rural Kits use a unique DNA solution that can be applied to tools, vehicles, machinery, and other valuable assets. This marking is virtually invisible but can be detected under UV light, providing an indisputable link between stolen property and its rightful owner. This has proven to be a powerful deterrent against theft and an invaluable tool in recovering stolen items.

Rural communities are often targeted by criminals due to their remote locations and the high value of farming equipment.By offering free property marking and crime prevention visits, Dyfed-Powys Police aim to empower farmers with effective tools and advice to protect their assets and reduce the risk of crime.

Sergeant Paul Roberts from our Rural Crime Team, said: “I ask that local farmers and other quad bike owners take appropriate action to minimise the opportunities of these thefts occurring. This includes removing keys from ignitions after use and locking barns or outbuildings wherever the vehicles may be kept.

“I’m aware that thefts of quad bikes and farming machinery causes disruption to farmers’ work, as well as the financial implications, and I would like to reassure the public that police are thoroughly investigating these matters.

“I encourage anyone living in rural communities to remain vigilant to this type of theft, and to report any suspicious vehicles or behaviour to police either online at: https://bit.ly/DPPContactOnline, by emailing [email protected], or by calling 101. Alternatively, contact the independent charity Crimestoppers anonymously by calling 0800 555111, or visiting crimestoppers-uk.org.”

The Rural Crime Team will be attending marts across the force, where community members can bring items such as tools, machinery, and bikes to be marked.

Farmers can also arrange a visit from our Rural Crime Team to mark equipment and conduct a security audit by emailing [email protected]

Visit our website for more information and advice about rural crime and what prevention measure you can take – https://www.dyfed-powys.police.uk/advice/advice-and-information/rc/rural-crime/

Farming

Farmers’ Union recognises lifelong success of leading business founders

Published

6 days ago

November 18, 2024

Tom Sinclair

THE Farmers’ Union of Wales (FUW) presented its ‘Lifetime Achievement Award’ to the founders of a leading North Wales business during a special dinner held at the Kinmel Hotel, Abergele, on Friday, November 8, 2024.

Gareth and Falmai Roberts, founders of the popular yoghurt business Llaeth Y Llan, started their venture in 1985 from a converted cow shed at their farmhouse in Llannefydd, Denbighshire – with the first product trials carried out at the back of their airing cupboard!

Over the past three decades, the business has gone from strength to strength. In 1995, they moved to a modern dairy designed and built using a disused barn and other farm buildings. By 2015, with their brand stocked across Wales in four major retailers and dozens of independent shops, the old dairy had reached full capacity. A larger production facility was designed and built on the Roberts’ farm and was officially opened in 2017 by Lesley Griffiths MS, the then Welsh Government Cabinet Secretary for Environment and Rural Affairs.

The business combines traditional values with modern techniques, producing 14 different yoghurt flavours using Welsh milk sourced from the local area. The yoghurt is sold across Wales and England, with the business having already won the Food Producer of the Year award at the inaugural Wales Food and Drink Awards in 2022.

The FUW Lifetime Achievement Award was presented to Gareth and Falmai Roberts by FUW President Ian Rickman. The evening also featured entertainment from operatic baritone John Ieuan Jones.

Ian Rickman, President of the Farmers’ Union of Wales, said: “The Farmers’ Union of Wales was unanimous in recognising Gareth and Falmai’s incredibly successful business, and we were delighted to host this dinner to honour their achievements and present this award to them.

From producing their first yoghurt pot to their current success as one of Wales’ most renowned food producers, Llaeth Y Llan is an outstanding example of Welsh entrepreneurship, with local farming and food production at the heart of their success.

I congratulate them on this well-deserved achievement, and I have no doubt that their business will continue to grow from strength to strength.”

Proceeds from the dinner and the highly successful auction will be donated to the Dai Jones Memorial Appeal Fund, administered by the Royal Welsh Agricultural Society.

Farming

Farmers fight back: Inheritance tax row at Welsh Labour conference

Published

1 week ago

November 16, 2024

Tom Sinclair

THE Welsh Labour conference in Llandudno, Conwy, on Saturday (Nov 16) became the backdrop for a large and impassioned protest by farmers opposing the Labour government’s controversial inheritance tax changes. Hundreds of farmers descended on the venue with tractors and vehicles, voicing their frustration at what they describe as policies that will devastate rural communities and family farms.

The protest was a coordinated effort by Digon yw Digon (“Enough is Enough”), a group advocating for rural communities. Protesters carried signs reading “Labour War on Countryside” and “No Farmers No Food,” while tractors lined the promenade outside Venue Cymru.

*Farmers gather outside Venue Cymru as the Welsh Labour conference gets underway (Pic: Nigel Roberts/Herald)*

*Aberconwy MS Janet Finch-Saunders joined the farmer’s demonstration outside Welsh Labour’s conference in Llandudno (Image: Supplied)*

Starmer’s absence deepens anger
Farmers had hoped to confront Prime Minister Keir Starmer directly and present their concerns. However, Starmer avoided the protesters, leaving the venue without meeting them. This decision was sharply contrasted by the actions of former Prime Minister Rishi Sunak, who earlier this year attended the Welsh Conservative Conference and took time to speak with farmers about their challenges.

One farmer remarked, “Starmer didn’t have the guts. He left without facing us.”

The farmers’ message
In lieu of a direct meeting, the farmers delivered a strongly worded letter addressed to Starmer, outlining their grievances:

“Dear Prime Minister,

Croeso i Gymru,

Today you can see the depth of feeling and concerns that you are creating as the PM of this country towards the rural areas and farming community.

The outcome of your Budget highlights the government’s incapacity to look at the position as a whole rather than a tick-box exercise to fulfill your selfless ambition.

The inheritance tax debacle highlights this case. This new tax represents a considerable challenge not only for farmers but also the broader agricultural sector. The £1 million threshold is alarmingly low, and many farmers will face impossible decisions to sell portions of their land to cover these costs. This will affect the smaller family farm the most.”

Why farmers are protesting
The changes announced in the Autumn Budget include:

A new 20% inheritance tax on farms valued over £1 million.
Modifications to Agricultural Property Relief (APR) and Business Property Relief (BPR), effective from April 2026.

Farmers fear these changes will force many family-run farms to sell land, leading to reduced food production and driving up food prices.

Becky Wall, a farmer at the protest, made an emotional appeal:
“Please support our farmers; they work hard over long hours to feed us. Without them, we have no food. These changes will also impact small businesses connected to farming, posing a serious threat to our economy and our bellies.”

*Unite members wave flags (Image: Nigel Roberts/Herald)*

Rural Wales under pressure
The letter also highlighted the cumulative challenges faced by Welsh farmers, including the draconian impact of Nitrate Vulnerable Zone (NVZ) regulations, increasing incidences of bovine tuberculosis (TB), and uncertainty surrounding the Sustainable Farming Scheme (SFS).

“This cumulative approach has created despair in the countryside,” the letter continued. “As food supplies decrease, it will become more expensive, and the poorest in society will suffer the most.”

Gareth Wyn Jones, a farmer and broadcaster, expressed the emotional toll on rural communities:
“They’re destroying an industry already on its knees mentally, emotionally, and physically. We need government support, not hindrance, to feed the nation. Enough is enough.”

A strike as a last resort
As frustration boils over, some farmers have announced plans to go on strike starting Sunday. While economically challenging, the strike reflects the growing anger in the countryside.

The protest in Llandudno is part of a larger movement, with a major demonstration planned for Westminster next Tuesday. The event has already drawn so much support that its location was moved from Trafalgar Square to accommodate the expected turnout.

*There were dozens of tractors in Llandudno, Conwy on Saturday (Image: AFP via Getty Images)*

Starmer defends budget
Inside the conference, Starmer defended the Budget, describing it as a tough but necessary measure to stabilise the economy:
“Make no mistake, I will defend our decisions in the Budget all day long. Tough decisions were necessary to protect the payslips of working people, fix the foundations of our economy, and invest in the future of Wales and Britain.”

Starmer also hailed Labour’s collaboration between Westminster and the Welsh government as a “gamechanger,” promising that communities in Wales would benefit from Labour-led governments pulling in the same direction.

*Keir Starmer says that Labour is delivering for Wales, the farmers disagree (Image: PA)*

Investments and promises
Despite the protests, the conference included announcements of major investments:

A £160 million investment zone for Flintshire and Wrexham, described by Starmer as a turning point for the region’s economy.
An additional £22 million to tackle NHS waiting lists in Wales, adding to the £28 million pledged earlier this year.
A record £21 billion Budget allocation for Wales in 2025.

First Minister Eluned Morgan touted the “power in partnership” between the two Labour governments and emphasised their commitment to delivering for Welsh communities.

Farmers and rural advocates insist that their voices will not be ignored. The inheritance tax changes have become a flashpoint for broader frustrations with government policies affecting rural areas.

As the protest letter concluded: “Prime Minister, we ask that you revisit the whole approach to farming and rural communities as a matter of urgency. This is a last resort, but growing anger in the countryside has brought us here. The one thing Labour has achieved is uniting farmers, businesses, and rural communities against these policies.”

With protests expected to intensify in the coming days, the farming community’s fight for their livelihoods and the future of rural Wales continues.