The Presidents of the four UK farming unions met today to discuss the steps needed to help the farming sector deal with growing cash flow difficulties.
This comes after ministers in the Agriculture Council agreed to put forward proposals on potential solutions to the European Commission ahead of the next Agriculture Council in March.
The four union Presidents will be lobbying ministers and pressing the Commission to introduce practical measures to support Europe’s struggling farmers.
Action at both UK and EU levels will be essential, with the unions looking to the banks to take a fresh look at the way in which they deal with farm borrowings. In addition, the unacceptable delays in issuing basic scheme payments must be urgently addressed.
The four farming unions met with senior Commission officials in Brussels this week to highlight several key EU measures to deliver assistance. This comes after ministers in the Agriculture Council agreed to put forward proposals on potential solutions to the European Commission ahead of the next Agriculture Council in March.
The four union Presidents will be lobbying ministers and pressing the Commission to introduce practical measures to support Europe’s struggling farmers.
"The European Investment Bank (EIB) must be pressed to speed up its work to refinance farm borrowings, and everything must be done to ensure that trade with Russia is resumed. Export credits as proposed by the French government could help reduce the pressure on the European market."
"We also repeat our call for dairy intervention price thresholds to be reviewed. In addition, fertiliser import tariffs must be removed to boost competition in the European fertiliser sector. All of these measures will help to achieve the ultimate objective of taking cash flow pressure off farmers."
UFU President Ian Marshall said: "Farm businesses are really struggling financially and it is vital that the banks take a more radical approach to supporting and assisting farmers during this cash flow crisis and also that the EU Commission acts now to alleviate the serious problems which the industry is facing through no fault of its own".
The four farming unions will jointly be outlining these steps in a submission to ministers ahead of the next Agriculture Council meeting in Brussels in March.
NFU President Meurig Raymond said: “The farming sector in the UK is facing a severe cash flow difficulty at the moment, not least due to the unacceptable delays in issuing Basic Payment Scheme payments. Farm businesses are really struggling financially and it’s vital the EU acts now to do all it can to alleviate the problems farmers are facing in the wake of the Russian ban- caused through no fault of their own.”
The four farming unions will jointly be outlining these steps in a submission to ministers ahead of the next Agriculture Council meeting in Brussels in March.
NFU Cymru President, Stephen James said, “Farmers across Wales are struggling financially as a result of global factors and delays in payment of the Basic Payment Scheme (BPS). Whilst we continue to push Welsh Government on the urgency of BPS payments we also believe that there are measures that the European Commission can take that will assist businesses now and help them through the current serious difficulties that are hitting all of Europe’s farmers.
“Agriculture plays a vital role in Wales’ economy, underpinning a food supply chain which is worth £6bn annually, employing around 230,000 people, or 18% of our workforce. Concrete measures need to come out of the next Council of Farm Ministers’ meeting, that can give some immediate relief to struggling farm businesses. We are asking for a suspension of fertiliser tariff imports and the removal of dumping duties to give some immediate relief on costs.
“Allowing the European Investment Bank (EIB) to refinance farm borrowings with holidays from repayments possible when prices are extremely low would assist with businesses dealing with price volatility."
