The Farmers’ Union of Wales (FUW) says there is a “desperate need for improved farmgate returns” given low farm incomes and the uncertainty facing the industry over the coming years.
Citing a fall in farm business incomes of around 40% over the past five years, with a 20-25% fall over the past year alone,” FUW livestock committee chairman, Dafydd Roberts, said all farming sectors in Wales were facing major challenges.
“On top of this we now face a period of extreme uncertainty due to the changes to the CAP payment regime and the likelihood of delayed payments over the next twelve months,” he added.
Mr Roberts also urged supermarkets and other key players in the supply chain to demonstrate their awareness of the challenges facing agriculture and the risks of failing to ensure fair farmgate returns.
“Action needs to be taken to show solid commitment to Welsh and British agriculture in order to protect supplies,” he said. “Otherwise unacceptably low farm incomes and the financial uncertainties facing us over the next 12 months will have an impact on the supply chain as a whole, with a major knock-on effect for rural economies.”