'Disastrous' state of Welsh farming

NFU Cymru says the appalling state of the livestock sector in Wales has been confirmed by Farm Business Income statistics published by the Welsh Assembly Government which also provide clear evidence of the disastrous economic state the farming industry finds itself in.

Farm incomes in Wales overall are down but the variation in the economic performance of the sectors varies considerably. The livestock sectors in both the Less Favoured Area (LFA) and lowlands have had an astonishingly difficult year, says NFU Cymru.

Net Farm Income (NFI) on LFA farms is down 63 percent at 3,000 pounds; lowland NFI is down 24 at 8,500.

This is a reflection of the combination of market disruption which followed Foot and Mouth Disease and BlueTongue Virus, which compounded the problems of a depressed market resulting from ill-timed New Zealand imports, says NFU Cymru. On the other side of the equation there have been massive increases in costs resulting from hikes in feed, fertilizer and fuel prices.

Dai Davies, NFU Cymru President said, "The figures demonstrate quite clearly that the industry's income position is wholly unsustainable and if Welsh farmers are to be required to play their part in assuring security of food supplies in the context of the shortages that are likely to emerge in global world markets then this position has to be redressed immediately."

Total income from farming in Wales in 2007 was down 10.4 on 2006 compared to a rise in the UK figure, but represents less than a third of the value for 2005 despite some recovery in the milk and arable sectors.