FUW advice to victims of 'swap loans'

Tragic tales of the consequences of the mis-selling of swap loans, also known as Interest Rate Hedging (IRH) products, were outlined at a recent meeting attended by Farmers' Union of Wales business development director Emyr James.

"Scores of business proprietors from all over Wales who had been sold IRH products gathered at Ty Hywel in Cardiff Bay to raise awareness amongst Assembly Members of a major issue with the sales," said Mr James.

“Farmers are amongst businesses where there is the possibility that mis-selling has taken place. Some have complained about their plight but it is believed there are many more farmers affected by this issue who are reluctant to come forward.

"Tragic tales of the consequences of mis-selling were heard at the meeting including businesses going into administration and high levels of personal stress."

Chaired by Ceredigion AM Elin Jones, the meeting was addressed by Aberconwy MP Guto Bebb and founding director of Bully Banks Jeremy Roe who outlined their lobbying efforts at Westminster and with the Financial Conduct Authority (FCA).

In January 2013, the former Financial Services Authority (FSA) found that over 90 per cent of sales from a sample study of cases breached their regulations and over 90 per cent of those were mis-sold.

"This high proportion of non-compliant sales is being replicated in the ongoing FCA-supervised review which aims to provide rapid, fair and reasonable redress to small businesses mis-sold these instruments.

"It is generally accepted that the sale of these Swap Loan products to family farming businesses was totally inappropriate as they were far too complicated for them to fully understand the risks involved.”

Mr James advises any farming business in doubt whether they have been sold an IRH product or swap loan to take the following steps: 

  • Enquire of your bank whether any loan account established/restructured during period 2005-2008 is an IRH product.
  • If you have been sold an IRH/swap loan, ask your bank to review the selling process in accordance with FCA guidelines.
  • Report the fact that there is the possibility you may have been mis-sold a swap loan to your MP and AM.
  • Join Bully Banks, an organisation made up of individuals who have been mis-sold a hedging product that coordinates representation at FSA and Central Government level to secure proper redress and compensation.

Welsh food producers celebrate success of 'taking coal to Newcastle'

A group of Welsh food producers who attended the first Food & Drink Show Northern Ireland 2013 recently are celebrating the success of their trade mission despite it being described as like "taking coal to Newcastle".

The group was assembled by Farmers' Union of Wales member Robert Vaughan who is passionate about agriculture and the meat produced at his Longhorn cattle and Lleyn sheep farm in the hills overlooking the Gwaun Valley near Fishguard.

"We had a fantastic welcome throughout the three days of the show in the King’s Hall Pavilion in Belfast - the original site of the Royal Ulster Agricultural Society’s Balmoral Show which is now held on a new site at Balmoral Park, Lisburn.

“The food and drink show was a huge attraction for hundreds of consumers who enjoyed a delicious mix of great produce, celebrity guests and live demonstrations. The organisers wouldn’t let us go until we promised to go back again next year.

"All the producers from Wales agreed that it had been a very enjoyable and successful trade mission. We sold out of the various products we offered for sale at the event and received lots of new orders.

"In spite of the travel costs I'm sure the trip will prove to be worthwhile for everyone," added Mr Vaughan, who farms in the shadow of Carn Edward mountain that gives its name to his established herd of Longhorns.

The cattle graze the striking surrounding landscape from which a very traditional farming practice has moved with the times to meet modern demands.

“We produce good old fashioned beef at modest prices,” added Mr Vaughan who, along with his family, endeavours to provide a quality product for the consumer and kitchen table at realistic prices.

Carn Edward sell at numerous locations, including Fishguard, Aberystwyth, Swansea Uplands and weekly at Riverside in Cardiff farmers’ markets, and attend many food festivals.

Details of the enterprise are on Twitter @carnedward and on their website, from which lamb and beef packs can also be purchased. The farm is approximately 500 acres and runs from the valley bottom to the hill top, providing a variety of diverse habitats. 

Over 20 years ago Robert's parents Dilwyn and Suzanne established the adjacent Penlan Uchaf Gardens which attract around 20,000 visitors a year.

The family decided to specialise in rearing Longhorns 10 years ago because the taste and the texture of the meat is incredible. "They also suit the local environment needs by helping maintain the diverse habitats that are rich in a variety of flora and fauna," Robert said.                                                                                                                   

"Additionally, the cattle’s fearsome horns belie their docile temperament which compliments the Garden visitors and many foot walkers crossing the farms. In much the same way, we chose to breed Lleyn sheep nine years ago, again because of their temperament and suitability to the farm’s environment.

"The Longhorn herd stand at 200 and is growing. They are grass fed throughout the year and finished on home grown barley and oats. The calves are typically born in the spring, with the cattle housed on straw in our barns during the wettest parts of winter.

"Currently the Lleyn flock consists of approximately 600 sheep."

Another business with strong farming connections that was part of the mission was Aerona which produces liqueur made by Hazel and Gwilym Jones with hand picked aronia berries from plants grown on the family farm, Rhedynog Isaf, Chwilog, near Pwllheli. Every bottle produced is unique as they are all hand filled, crafted and finished.

Other members of the group, who regularly attend Welsh food markets and festivals, that made the trip to Belfast included sisters Laura and Katie Jenkins who, just over a year ago, launched Oh Sugarplum! which produces homemade confectionary using high quality ingredients and seasonal local produce at their kitchen in Wolfcastle, Haverfordwest.

They can regularly be found experimenting with new - sometimes quirky!! - recipes and also selling their fudge, marshmallow and truffles at local farmers’ markets, craft fairs, events and food festivals.

Little Welsh Deli, of Grovesend, Swansea, an award-winning artisan pastie-making company, also did a roaring trade at the show. All their pastry and fillings are hand crimped and include local ingredients wherever possible including Gower beef and Pembrokeshire lamb as well as minced beef from Carn Edward.

Group members, Carmarthen-based VDeli, produce a range of meat-free sausages, burgers, pasties and scones using fresh, locally sourced produce and combining unusual flavours and can be found at Carmarthen outdoor market every Saturday.

And Samosaco of Pontyclun produces samosas, bhajees, gluten free pakoras and gluten free mixes. All its products are 100 per cent vegetarian and they do not use any artificial preservatives, colouring, flavouring, MSG, or GM products.

[caption id="attachment_2664" align="aligncenter" width="1024"]Welsh food producers celebrate success of 'taking coal to Newcastle' Welsh food producers celebrate success of 'taking coal to Newcastle'[/caption]

FUW welcomes retention of CAP funding allocation for Welsh farmers

The Farmers' Union of Wales has welcomed the UK Government's decision to maintain the Common Agricultural Policy funding allocation for the next period (2014-2020) to Wales and the other devolved administrations on the same proportions as before.

"We welcome Defra minister Owen Paterson's announcement today even though we are well aware that the overall budget has been cut by 12.6 per cent in real terms," said FUW president Emyr Jones.

"It was imperative that Wales, at the very least, maintained the same proportion of CAP Pillar 1 monies that it currently benefits from and we are pleased that the union’s lobbying and the Welsh Government’s negotiations has resulted in a fair deal for farmers in Wales.

"The Pillar 2 allocation, which sees an increased allocation of 7.8 per cent in real terms, is also welcomed although the loss of a mandatory co-financing requirement under the Regulations - where Governments must match fund every £ taken off farmers in ‘top slicing’ - will still have a negative impact on farmers' incomes if the Welsh Government decides to top slice the full 15 per cent from Pillar 1 to Pillar 2 to fund rural development initiatives."

In a letter to Mr Jones, Mr Paterson confirmed Wales will receive around €2,245m over the 2014-2020 period, subject to EU ratification. For Pillar 2, Wales will receive €355m in current prices for 2014-2020.

FUW hails lifting of US beef export ban

The lifting of the 15-year export ban on British beef to the United States and the aligning of US import rules on BSE with the World Organisation for Animal Health (OIE) has been hailed a major success by the Farmers’ Union of Wales.

The US market, which has been closed to any EU beef since the BSE crisis of the 1990s, is now open after the US Department of Agriculture (USDA) announced it is bringing the US legislation in line with the international science on BSE risk.

FUW livestock, wool and marts committee chairman Dafydd Roberts welcomed the lifting of the ban. He said: “This is fantastic news, not just for the British beef industry but also for us Welsh farmers.

“Beef and lamb exports to the US could be worth more than £60m a year but it is of course going to take some time to show the US what fantastic quality beef we produce in this country.

“For many years the US import ban has been at the top of the agenda during our annual meetings with the US Department of Agriculture, and we are looking forward to exploring the new market and building a strong relationship with consumers in the US.

“We still need to have our meat inspection systems recognised as equivalent to those in the US, but once this has been overcome I hope that American consumers will be enjoying quality Welsh beef ,” added Mr Roberts.

FUW leaders back family farms

Two leading Farmers' Union of Wales members stressed the importance of support from government and retailers to ensure the survival of family farms during a meeting in London on Tuesday (October 29).

The union's president, Bala farmer Emyr Jones, told a Family Farmers’ Association open meeting that family farmers were passionate about the food they produce but passion alone cannot sustain their businesses.

He said the Single Farm Payment (SFP) was a "lifeline" for many farmers and the prospect of the UK leaving the EU made him "very nervous". He added: “We are heavily dependent on our SFP and would not be able to survive without it.

“A referendum on Europe makes me very nervous. We feel we have to be a part of the EU to carry on farming.”

Mr Jones, who farms beef and sheep with his two sons, said the country’s farmers needed more support from Westminster and from the National Assembly in Cardiff.

Former FUW Ceredigion county chairman Ionwen Lewis said family farms were often a forgotten species.

“What must not be forgotten, though, is farming is a thriving bright spot in the British economy and it is important the law makers realise agriculture is not just about skylark numbers.

“Family farms do not just produce food, they have maintained the landscape and nurtured unique communities and the rural way of life for thousands of years.”

Mrs Lewis, a former Women’s Food and Farming Union (WFU) president whose son is eventually expected to take over the farm, agreed the industry needed support but added it had a "bright" future.

She said: “British agriculture has faced challenging and often turbulent times over the last decade, with outbreaks of devastating animal diseases, low farmgate prices and increasing import costs, as well as never ending forms to fill in.

“Yet, probably because we are the most resilient and proudest of people in any industry, most of us are still around and as optimistic as ever.”

She said the WFU conference in London next year would be looking at how the problem could be tackled.

“Why do we need to produce more when we are wasting so much? We are wasting 50 per cent of the food we produce in the world.

“The best way to care for the countryside is to farm it and make full use of its produce.

“We enjoy what we do and it is always a challenge to produce more food to meet the growing demand every year - but the fact that in the UK, seven million tonnes of food is thrown away every year is horrifying.”

[caption id="attachment_2652" align="aligncenter" width="786"]Emyr Jones (far right) on the family farm near Bala with his sons Dylan (left) and Aled Emyr Jones (far right) on the family farm near Bala with his sons Dylan (left) and Aled[/caption]

[caption id="attachment_2653" align="aligncenter" width="300"]Former FUW Ceredigion county chairman Ionwen Lewis Former FUW Ceredigion county chairman Ionwen Lewis[/caption]

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