As a result of a rotational change in Presidency of the EU a new series of discussions have been initiated by the Netherlands - with the main focus being the next CAP programme period and its simplification.

This news has been described as ‘essential’ and ‘most welcome’ by the Farmers’ Union of Wales.

The complexity of the current CAP rules and the requirement to provide sketch maps have been a nightmare for farmers and all those assisting them with filling out and submitting their Basic Payment Scheme forms (BPS).

FUW staff worked tirelessly in the run up to May 15, dealing with the new regulations, and the FUW has expressed every sympathy to Welsh Government staff who are now under the same pressures.

FUW President Glyn Roberts said: “Over the past five years both the European Commission and the Welsh Government have, it is hoped, learned important lessons in terms of planning for the future and we welcome the move by the new EU Presidency to kick-off talks on the post 2020 programme early.”

In its 2016 Welsh Assembly Election Manifesto, the FUW highlighted that the European Commission (EC) failed to secure agreement for its proposed reforms in time to implement the scheme in 2014, as should have been the case, while the complexity of the regulations finally passed meant the new Commissioner – Phil Hogan – had little choice but to make CAP simplification an immediate priority.

Despite the twelve month delay to the CAP implementation date, the Welsh Government’s failure to heed the FUW’s warnings by preparing for the new CAP early on led to two legal challenges and limited options in terms of the final payment models which could be practically implemented in Wales.

Mr Roberts added that “As such, we are left with an imperfect Welsh Basic Payment Scheme which fails to meet the key aspirations agreed by government and industry, and we also have unnecessary and costly levels of bureaucracy which contradict the original principles agreed by the European Commission and Parliament.

“The clear lesson for the EC is that, in light of co-decision making, it is essential that discussions on the priorities and options available under the next CAP must be started early – a concern already raised by the FUW with Commissioner Hogan.”

Meanwhile, the Welsh Government must also look beyond the current CAP and undertake work early on to identify those priorities and options which best suit Wales’ agricultural industry.

It is vital that concerns over whether the UK will remain a part of the EU should not be used to justify procrastination and we must feed into discussions at an EU level and help shape the next CAP.

Moreover, such work may also inform policies should exit from the EU become inevitable.

In light of this, the Union would urge the incoming Welsh Government to undertake detailed work to examine the possible outcomes of adopting a broad range of Welsh basic payment models post 2020, undertake mapping work in order to identify those areas which might be used as the basis for future payment models, and investigate the benefits or otherwise of multi-tiered payment systems akin to the Redistributive and Tir Mynydd models in order to feed into discussions at an EU level.

A group of Welsh dairy farmers are convinced that the Dairy Producer Organisation (DPO) structure should play an integral part in the dairy sector’s future.

The claims come after AHDB Llaeth/Dairy commissioned Promar International to carry out a study into ‘The Feasibility of a Dairy Producer Organisation in Wales’ on behalf of the Welsh DPO working group.

The group started to explore the potential of DPOs in Wales in May 2014 with the facilitative support of Agrisgop, which is part of the Farming Connect programme.

The aim of the study was to gain a better understanding of how a DPO structure could work for the benefit of dairy farmers and processors in Wales.

DPOs are specific entities set up primarily to negotiate prices and terms and conditions of supply with one or more processors. The report considers the potential of different DPO structures, the Welsh dairy industry and the challenges around establishing DPOs.

The working group wants to encourage the industry to ‘step-up’ to the challenge of driving the development of one or more DPOs in Wales.

Working group member Tom Jones (FUW member) said: “As a group we want to see a more resilient, competitive and sustainable dairy industry here in Wales in the future and we strongly feel that DPOs could solve a number of the current issues within our supply chain.

“For example there is currently a disconnection between what processors need, and believe they can market, and the level and pattern of farm production. This study goes a long way in acknowledging that by using new and novel methods of working together, DPOs can play a vital role in improving the efficiency of producer/processor relationships for the benefit of both parties.”
“Another group member Aled Jones (NFU Cymru member) added: “We hope this evaluation will help farmers across Wales to realise the strength that can be achieved by being part of a DPO.

“As an industry we have a choice to make, we can either bury our heads in the sand and wait for the next upturn in the market or we can take this positive step towards rectifying some of the current failures of our supply chain.”

The study emphasises that ‘recognition’, ‘cohesion’, ‘patience’ and ‘confidence’ are all fundamental aspects needed to establish successful DPOs. Good ‘leadership’ and relevant ‘skills’ are also cited as critical aspects of any success.

The report can be found on the AHDB Dairy website: www.dairy.ahdb.org.uk/Wales/DPO

After the debate between Welsh First Minister Carwyn Jones and UKIP leader Nigel Farage, organised by the Institute for Welsh Affairs, the Farmers’ Union of Wales (FUW) has described the prospect of a Brexit as a dangerous step into the unknown .

Speaking shortly after attending the debate, recently appointed FUW Managing Director Alan Davies, said: “The frustrations of others are shared by Welsh farmers in terms of the EU’s many shortcomings, but the FUW’s long established view is that a Brexit would have dire economic consequences for Wales and the UK, with our rural communities hit the worst.”

According to a recent report by Agra-Europe entitled ‘Preparing for Brexit’, Wales benefits financially more than any other region of Britain, receiving an average of around £185 per capita each year.

“In 2001 the foot and mouth disease outbreak meant we were not able to export our main agricultural products to the rest of the EU. Welsh farmers lost around £100 million in today’s terms, and the already low incomes of our hill farmers who make up the majority of our industry fell to an average of £1,700 per annum.

“The impact was basically the same as being outside the EU and having an import quota of zero; so from the point of view of our access to the 500 million or so EU consumers who are on our doorstep we need to know what our likely export quota for Welsh lamb, Welsh cheese or Welsh beef would be after a Brexit? What would the import tariffs for our products be? What would replace the current support in place for agriculture and our rural communities through the Common Agricultural Policy (CAP)?

“There are so many unanswered questions that any vote in the near future would be a dangerous step in the dark.”

Mr Davies said, Welsh agriculture and rural communities would be severely undermined by many of the policies on agriculture advocated by successive UK Governments, including those aimed at undermining the CAP, and that this underpinned the FUW’s concerns over the future of Wales outside the EU.

“Only last week Secretary of State Liz Truss confirmed there is currently no ‘plan B’ for agriculture should the electorate decide we should leave the EU, yet an in-out referendum may be just months away.”

Last month the FUW’s Welsh Assembly election manifesto called for a detailed financial analysis of the likely impact of a Brexit on Wales and its rural communities, and Mr Davies said such work must be prioritised so people know exactly what they are voting for.

“Unless we see some contingency planning, outlining the possibilities, some people will be voting for a dangerous step into the unknown, which we believe will be catastrophic for Wales and the UK.

“The FUW has been a strong voice for farmers in Wales in relation to Europe and has been at the forefront of the debate since the very beginning. We will continue our fight for Welsh farmers at all levels.”

The Meirionnydd Branch of the Farmers’ Union of Wales has arranged a special meeting to introduce the changes to the sheep identification rules form January 1 and the new electronic sheep reporting system for Wales known as ‘EID Cymru’ which will be effective from January 18.

It has been arranged at the Rugby Club, Dolgellau on Monday, January 18 at 7.30pm. The main presentation will be by John Richards of Hybu Cig Cymru, who has been seconded by HCC to set up the new system.

Also present will be Janet Phillips, Farm Liaison Officer from the Sustainability and Development Division of the Welsh Government, and John Hughes from Gwynedd Trading Standards department.

FUW Meirionnydd County Executive Officer Huw Jones said: “This meeting provides an excellent opportunity for farmers to raise any questions they may have ahead of the launch and I urge them not to miss out.

“With all sheep movements due to be recorded on the Welsh Government’s EIDCymru database from this year onwards, the prospect of such a change raises significant concerns within the industry, and many remain confused as to what they will be expected to do, particularly if accessing the online system is not an option due, for example, to a lack of broadband in many areas.

“Any farmers wishing to use EIDCymru to report or confirm their sheep movements will be provided with the information needed to use the system, during the meeting.” 

Following the presentations, there will be an opportunity for questions or comments on the new arrangements.

These are very important changes which apply to all sheep farmers. A large number of FUW members are expected to attend, and more details are available from the Union’s Dolgellau office  01341 422298 or This email address is being protected from spambots. You need JavaScript enabled to view it..