Give us fairness in our food chain

Farming Union NFU Cymru has today (Monday, 3 December) emphasised the importance of food production as the primary function of the agricultural industry at an evidence session of the House of Commons Welsh Affairs Select Committee on the effects of globalisation on food production and supply.

Speaking after presenting evidence to the Committee, held in Aberaeron, NFU Cymru President Dai Davies said, "We are delighted that the Committee is subjecting this area to scrutiny as all too often the role of Welsh agriculture, in food production terms, seems to be overlooked in favour of the spin-off benefits the industry produces in terms of the environment and energy. However, food security is crucially important and is a primary function which we believe to be of strategic importance to Wales.

"There is fierce competition in the market place combined with unrelenting pressure on price, which has meant that consumers have benefited in the past from cheap food prices, high quality and tremendous choice of product. However, this is unsustainable and has the potential to damage the food supply chain in Wales and indeed beyond.

"What NFU Cymru is looking for is a food chain that functions properly, where fairness, transparency and sustainability are respected and where value added is rewarded. Sadly, this is not happening at the moment, a prime example of which being the difficulty faced this year by the sheep sector, which has been financially decimated by the ramifications of foot and mouth disease. Welsh lamb prices at the beginning of November were 29% lower than last year and covered just 52% of the cost of production. Although you would expect this to reflect in retail prices, in fact, according to figures from the Meat and Livestock Commission, the average retail price actually increased by 4.3%.

"I see neither fairness, nor transparency, nor a sustainable position for the livestock industry at present, and it is for this reason that we feel it is imperative that the supermarket code of conduct is toughened and extended to cover all supermarkets. There must also be an independent ombudsman with the power to act where there is evidence of abuse. I hope that supermarkets embrace the idea of an ombudsman who could shine a light on best practice and highlight those supermarkets for whom fair trade is more than just a catchphrase."