'Welsh food and farming sector can capitalise on opportunities that will arise in 2016'

“We cannot hide from the fact that 2015 has been a tough year for Welsh farmers with market prices depressed across our key sectors and the impact of CAP policy changes directly impacting on farm businesses", says NFU Cymru President Stephen James in his New Year message.

“We must look positively to the future however and I remain optimistic, that with the right backing, the Welsh food and farming sector can capitalise on the opportunities that will arise on both domestic and global markets for food produced to the highest animal welfare, environmental and quality standards.

“The complications and difficulties that the industry has faced throughout 2015 with the implementation of the new Basic Payment Scheme highlights that EU Commissioner Hogan is right to place CAP simplification at the top of his agenda. NFU Cymru has met with the Commissioner and his cabinet on a number of occasions these past 12 months to press for change and we will continue to pursue simplification and a mid-term review that should place productive agriculture at its core. The immediate priority however is the delivery of the 2015 BPS payments to all farmers in Wales.

“NFU Cymru has sought to actively engage with Government at all levels on the design and implementation of the Wales Rural Development Programme (RDP). We believe that the £1 billion programme can be a key lever in helping improve the competitiveness and profitability of our industry.

“This can only be achieved by ensuring that RDP schemes are easily accessible to farmers, have high participation levels and crucially that alongside training and knowledge transfer activities, investment support is delivered at a farm level.

“We remain unconvinced that Welsh Government shares our vision. Its focus is too much on raising awareness and delivering support to the few rather than to the many. Transformational change, that Welsh Government says they are committed to deliver, can only be achieved if the RDP delivers real and practical support to thousands of Welsh farmers. It is time for the Welsh Government to make full use of the lever that is at their disposal.

“Welsh Government needs to move away from what appears to be a presumption in favour of regulation. Too often Government policy is being decided without robust evidence and without proper analysis of the economic impact of the proposed changes to the industry. The threat of changes to Silage, Slurry and Agricultural Fuel Oil (SSAFO) regulations, oil storage rules and new NVZ designations hang over the industry as we enter 2016 are indicative of this appetite to over-regulate.

“NFU Cymru is committed to working with Government on a strategic framework for Welsh agriculture but this can only be successful if it is genuine partnership and embraced across all Government departments. We need to look to achieve the outcomes we all wish to see, using the best available tools and ensuring that regulation is only introduced as an absolute last resort.

“Most recent statistics from Welsh Government show a 25% increase in the number of cattle slaughtered due to bovine TB and a 9% increase in the number of new herd incidents. Bovine TB remains arguably the greatest threat to our cattle herd and no eradication plan is worth the paper it is written on without an acceptance that the disease must be eradicated from wildlife as well as from cattle. Politicians can no longer hide behind badger vaccination as their approach to dealing with the wildlife reservoir and they must now clearly set out their plan for effectively dealing with the issue in wildlife.

“2016 provides an opportunity for all of us to influence the future direction of agricultural policy in Wales. On 5 May 2016 Wales will go to the polls for what we all expect to be a keenly fought election.

“NFU Cymru will use every opportunity to get in front of prospective Assembly candidates in the run up to this election. We want to know what the new Government will do to help us achieve our vision of a productive, progressive and profitable Welsh agricultural industry that delivers growth, jobs and investment within Wales.

“The coming months will see the debate around EU membership intensify and NFU Cymru has already led the way, producing a document which examines some of the key questions. We cannot underestimate the influence of the EU on Welsh agriculture. It remains unclear at the moment what the alternatives to EU membership might look like for agriculture, if we were to withdraw. Although much of our red tape and bureaucracy derives from the European Union, so too does our access to our biggest trading partners and the Common Agricultural Policy.

“The market place remains challenging with our milk, lamb and cereal prices impacted by a range of global factors that are beyond our control. However these factors have once again shone a light on those who are committed to sustainable and long term relationships with primary producers and those that are more promiscuous with their sourcing policies. NFU Cymru has and will continue to meet with retailers, food service providers and public procurers to press for a clear commitment to supporting Welsh farmers; seeking to ensure our product is clearly labelled; and for a fair and transparent supply chain.

“Finally and most importantly I would like to thank consumers for the support they have shown to Welsh produce this year and to everyone for getting behind our “It’s time to Back Welsh farming” campaign. I would ask for this support to continue in 2016 and for consumers to continue to ask retailers and food service outlets to source more food from Wales and to ensure that our produce is clearly labelled and clearly displayed"