Retailers must invest in production

"Retailer abuse, regulation by government and market prices are the three biggest challenges facing Welsh farmers today," said Peter Kendall, NFU President in his address to Brecon and Radnor NFU Cymru members at their annual County Conference.

Commenting on a recent trip to Brussels where Mr Kendall and Dai Davies, NFU Cymru President had met with EU Commissioner Kyprianou to discuss the issue of Brazilian beef entering the UK, in particular the lack of traceability, individual identification, appropriate veterinary records and the threat of importing foot and mouth disease, Mr Kendall said, "As an industry, we have put a lot of effort into raising consumer confidence and ensuring traceability and then we have Brazilian beef coming into the market.

"Retailers are taking Welsh farmers for granted. Young people are not coming into the industry and we are now in a stage of decoupling where beef and sheep farmers are cutting stocking levels.

"Something has got to change. We can do nothing about the exchange rate but we can target the retailers who are crucifying home supplies where market prices are low, and yet we see an early presence of New Zealand lamb. We have high welfare and environmental standards and retailers must realise it. Once our production is gone, it is gone," he added.

The main concern amongst Brecon and Radnor members was that current market prices are lower than 20 years ago combined with escalating running costs, which is making it increasingly difficult to compete within an industry where there is cheaper inferior quality imported produce.

Mr Kendall said, "We cannot have inferior products undermining our markets. With the welfare and environmental standards we have, coupled with the low carbon footprint of our products, we must get the retailer to invest in our production."

Mr Kendall also looked to the future of the agricultural industry. He concluded, "We need smarter ways of fallen stock disposal, simplification of regulations and time to remedy mistakes when they are picked up. Most importantly, we must find ways together to change.

"At a time when climate change is hitting headlines, we need Governments to treat land as a valuable resource for both food and energy security and start rewarding farmers for their hard work."