Hill farmers worst hit by foot-and-mouth

In last week's farm business income statistics there was proof, if it were needed, of the impact on our hill and upland farmers of last year's foot-and-mouth outbreak in England. However, there were also some positive figures, such as an increase in income for dairy farmers and indications of a more stable market for the beef sector.

The figures, showing that farmers in the less-favoured areas were the worst hit by foot-and-mouth, were, sadly, not unexpected. The Welsh Assembly Government recently assessed the economic cost of the disease at £21m for Welsh livestock producers of which £19.6m is for the sheep sector.

I still maintain that there is a clear responsibility on the UK Government to provide the industry in Wales with a financial recovery package, and I continue to argue that case with London. In the meantime, the Welsh Assem- bly Government has taken a positive step in deciding to commit its own money to help offset the financial difficulties arising directly from foot-and-mouth in England.

The Welsh Assembly Government has now committed a total of £13m to boost farming in Wales. This includes a new £8.7m compensation package for sheep farmers in less-favoured areas, as it is these farmers who have been most affected by foot-and-mouth.

In addition, £100,000 has been made available to the Royal Agricultural Benevolent Institution in recognition of the valuable work they carried out in financially supporting Welsh farming families.

In a further attempt to secure a sustainable future for the sheep sector in Wales, I met the United Arab Emirates Environment Minister in Dubai last month to press his Government to re-open the market for Welsh lamb following the ban on exports as a result of foot-and-mouth disease.