Reduction in production

WHILE the searing heat certainly stole the headlines at the recent Royal Welsh Show, there’s no doubt the main topic of discussion among farmers on the Llanelwedd showground was rising input costs.

Much of the reason for the increased costs farming businesses are having to swallow is due to huge hikes in the prices of feed, fuel and fertiliser.

These costs on Welsh farmers’ ability to produce food have been laid bare in a new survey of farmers’ intentions, conducted by NFU Cymru.

The poll of over 700 farmers across Wales, covering all sectors, shows that 71% of Welsh farmers intend to reduce production next year as a consequence of these increased costs and other factors.

54% of beef farmers will be reducing stock numbers in the next 12 months, averaging out at an estimated 10% cut in cattle numbers. Meanwhile, in the sheep sector, 46% of farmers will be reducing their flock with an estimated average 7% reduction in stock numbers. 40% of dairy farmers said they would be reducing milk production in the next 12 months, with 39% of arable farmers saying their crop production levels would reduce over the next year. 21% of poultry producers said they would be reducing bird numbers.

Of those Welsh farmers who said they planned to reduce production next year, 79% said it was due to increased costs imposed on their business. Other issues leading to a reduction in production included insufficient returns from the market (53%), the impact of Welsh Government’s Nitrate Vulnerable Zone (NVZ) regulations (44%) and other government regulation (41%).

Farmers in Wales cannot shoulder all of the eye-watering costs currently associated with feeding the nation.