NFU Cymru has welcomed Elin Jones, the Minister for Rural Affairs' announcement that an application is being made to the European Commission (EC) to make a further £8.8m available to help the industry recover from the dire economic consequences of Foot and Mouth disease (FMD).
Dai Davies President of NFU Cymru said, "Clearly this is welcome recognition by the One Wales Government of the financial plight that has faced farmers in Wales following the leak of Foot and Mouth disease from Government licensed laboratories in Pirbright. This doesn't, however, redress the full extent of the industry's financial losses which all farmers in Wales will have suffered as a consequence of the FMD outbreak but the major impact arose from the closure of sheep export outlets during the peak marketing period in Wales.
"The decision to top up Tir Mynydd payments by 30% in 2008 will, subject to EC approval, mean that a swift and ready mechanism is available to distribute these resources quickly and hopefully it will ease the cashflow burden these farmers are currently suffering. I still maintain that the financial obligation to redress the industry's economic plight rests fairly and squarely at central Government's door and the Welsh Assembly Government must continue in its endeavours to recover this aid from Treasury.
"The targeting of this aid on the Less Favoured Areas (LFA) will however be a major disappointment to other sectors of the industry who also have had to contend with exactly the same difficulties of dealing with movement restrictions and lost markets as a direct consequence of the Government's complete failure to maintain the structure of facilities for which they are responsible and their total refusal to accept responsibility for their actions.
Mr Davies concluded, "We appreciate the efforts made by the Welsh Assembly Government but we feel quite strongly that if finances could be sourced centrally then these should be targeted towards those sectors that have been left with no compensation despite them having endured the losses."