Welsh farmers must not lose out from subsidy reform – says Assembly committee

Published 20/07/2010   |   Last Updated 14/07/2014

Welsh farmers must not lose out from subsidy reform – says Assembly committee

20 July 2010

The Welsh Government must ensure that reform of the European Union’s agricultural support policy does not lead to a loss of income for Welsh farmers, according to a report from the National Assembly’s cross-party Rural Development Sub Committee.

The committee undertook the inquiry to assess the impact reform of the current Common Agricultural Policy (CAP) - which will coincide with a new EU budget post-2013 - could have on Wales’s agricultural sector.

The report calls for the Welsh Government to make protecting the CAP budget a priority for its negotiation strategy, so that Wales does not end up with a reduced sum of money after 2013.

It also recommends that the Welsh Government utilises the influence of Welsh MEPs and builds alliances with other EU regions with which it has a commonality of interest on CAP reform, to maximise its influence and bargaining power.

The report states that the provision of adequate income for farmers and ensuring food security should remain key objectives of the CAP, and that support for food production in less favoured areas such as the Welsh uplands should be protected.

It also recommends the introduction of environmental security as a new key objective, so that the CAP is relevant for current challenges and secures new sources of income for Welsh farmers through the provision of environmental services.

”Evidence gathered during the inquiry highlighted the importance of the CAP to the Welsh agricultural industry and rural Wales more generally, so the committee felt a duty to get involved in the debate of its future post-2013,” said Committee Chair Rhodri Glyn Thomas AM.

“Income from the CAP’s Single Farm Payment currently accounts for 90 per cent of average farm income in Wales, so its importance for Welsh farmers must not be underestimated.

“This report seeks to set a marker for the Welsh Government regarding how it should be representing Wales’ interests during the negotiation process.

“I hope that this report will provide a useful starting point for the debate in Wales on the future of CAP and that the Welsh Government will take the Committee’s findings on board.”

Report