Response to Wales CAP Reform
Response of the National Sheep Association (Cymru/Wales) to Questions from the inquiry into the Reform of the Common Agricultural Policy in Wales:
Introduction
National Sheep Association Cymru/Wales is pleased to be able to respond to the Welsh Assembly Government questions regarding the reform of the Common Agricultural Policy in Wales. NSA Cymru/Wales is an integral part of NSA, which is the only UK wide specialist organisation solely representing the interests of sheep farmers. Even though it is a UK wide organisation NSA fully appreciates the values and importance of devolution and has responded to these questions from the viewpoint of the Welsh sheep farmer and all that is good about Wales through it having a strong and vibrant sheep sector.
Taking the questions in order: - What should the Welsh Government’s priorities be in its negotiations on CAP reform?
The overriding priority for the Welsh Government in its negotiations on CAP reform must be to secure a continuation of support for sheep farming in Wales. It is critical that the Welsh sheep industry is sustainable in every sense of the word, but most importantly of all economically sustainable. Sheep farming is one of the main sources of employment in rural Wales - both directly and through its support industries. Employment in Welsh sheep farming has been falling as it has in those associated industries. It is important this decline is minimised and the skills of the workforce maintained. The effects of less people working in rural Wales as a result of the decline of traditional industries like sheep farming, are very damaging. Social and environmental breakdown occur as the managed landscape and local communities both sink into disrepair and lose their ability to generate vitality, diversity and prosperity as a consequence. NSA Cymru Wales also believes that the macro changes being seen in the world in terms of environment, climate change and population place an added on areas such as the Welsh hill and uplands to be kept in a state where they remain capable of being used for food production at any time in the future. That can only happen if there is targeted public support through the CAP for the sheep farming sector as it is uniquely placed to deliver that requirement.
2. What should the balance be between Pillar 1 and Pillar 2 of the CAP?
NSA Cymru Wales believes that it is dangerous to change the current balance between Pillar 1 and Pillar 2 support. A CAP that would work for the sheep industry in Wales is one which has a priority to give protection to the factors necessary for food production of a type that is best suited to the grass growing ability of Wales. This needs to be viewed from short, medium and long term perspectives. Secondly the CAP must play its part in ensuring that the fundamental environmental and social conditions and infrastructure needed to support food production in Wales.The direct payment regime under Pillar 1 should provide a transparent platform through which support to ensure sustainable farm incomes is made available. In return for this there must be the delivery of a basic package of public goods and benefits one of which is wholesome nutritional food including sheepmeat. Acting in a complimentary manner to this, Pillar 2 needs to have the scope and flexibility to deliver a range of support mechanisms for schemes that are able to directly respond to identified need in environmental and social objectives.If Pillar 2 funding is to be channelled through the Wales Rural Development Programme in the future, then NSA Cymru Wales believes that the share of EU funding available to the UK and in effect Wales needs to be addressed as currently it is significantly below the average for other Member States. It is essential that at the next budgetary review that a more objective and equitable basis for the allocation of core funding for Pillar 2 is determined otherwise Wales and other UK farmers are going to continue to be disadvantaged and competition will continue to be distorted by the imposition of additional modulation at the domestic level to make good inadequate EU funding. - What should the CAP’s central objectives be post 2013?
NSA Cymru Wales Farming would wish to reiterate its strongly held belief that from a Welsh perspective the central objectives of the CAP post 2013 must be to support sheep farming in Wales. This will in turn enable sheep farming to deliver economic, environmental and social benefit to rural Wales and in particular to the Welsh uplands where it is uniquely placed to do so.In many parts of rural Wales especially the uplands and hills, there simply is no viable option to sheep farming and the structures which have historically supported economic, environmental and social development in a sustainable manner reflect this. For example Common land is a very old form of land ownership and management. In large parts of Wales, for instance the Brecon Beacons, it is the predominant basis upon which land is owned and managed for benefit. It is near impossible to imagine a change in the position in these areas, particularly with hills and mountains with common land on them being as important as they are for tourism and recreation alongside food production. The sustainable grazing of commons makes them more accessible for hill walkers and public access and allows the local community to take economic advantage of the expenditure that arises from this recreational activity. - To what extent should the CAP be a community policy? Is some renationalisation desirable?
NSA Cymru Wales believes that any successful CAP should contain an element of being a community policy. All industries in Wales, and sheep farming is no different, are wholly dependant on the people that manage them. This requires vibrant rural communities to be in place offering careers and business opportunities to young people that are financially attractive as well as being economically and socially sustainable. Communities matter and no where more so in rural Wales so ensuring that those communities are maintained to so that they can continue to act as the lifeblood of Welsh sheep farming is vital.In terms of renationalisation, the arguments are very complex. However what is certain is that those nearest the local communities in rural Wales are best placed to meet the local needs to deliver the support that those communities require. History shows us that sheep farmers are very good at spending their money in the local community making it so called ’sticky money’. This is an excellent advert for the benefits of Pillar 1 expenditure. - To what extent is the Welsh Government’s farming strategy, Farming, Food and Countryside, aligned with future CAP priorities
NSA Cymru Wales never ceases to be amazed just how quickly any strategy can become dated and lose the relevance it once had. Even in the relatively short period of time since that strategy mentioned above was put together, the world has become a very different place. There is a marked shift in priorities on the world wide stage and whilst no one doubts the importance of environmental protection and the need to try and mitigate the effects of climate change, the need to feed a hungry world is now in the ascendency.The document needs revision to reflect the unique qualities Wales has and the role it can play through the activities of grazing animals – sheep - in meeting those food demands. This rebalancing requirement would be in response to a changing world order of needs and would show the Welsh Government to be a flexible and proactive player on the world stage. Doing so would align it closer to the aspirations of CAP reform as viewed by the majority of EU Member States and add to its overall sustainability - How should the Welsh Government engage with stakeholders as it prepares its position on reform of the CAP?
NSA hopes that Welsh Assembly Government engages with stakeholders as fully as possible. For reform of CAP to be successful in its objectives then stakeholders and industry must have confidence that there views are being considered. This can only be achieved through on-going dialogues with all key players, at both stakeholder and grassroots level. This includes specialist organisations such as NSA Cymru Wales as depth of knowledge in a particular area is often undervalued. Successful; delivery of the reform is entirely dependant upon confidence at grass roots level based o knowledge that there is an understanding of how sheep farming businesses work and the economic sustainability that is need for them to survive.
Conclusion
NSA Cymru Wales believes that the Welsh Assembly Government should take the view that their strategic approach to farming in the hills and uplands should reflect the global population of the world currently stands at 6.3 billion and is set to increase to some 9.5 billion by the year 2050. In other words food production, in this case sheepmeat production is vital to sustainability. NSA Cymru Wales believes that this issue cannot be ignored especially when set against the background that the entire livestock production system of Wales is one which relies upon the breeding and trading linkages between hills, uplands and lowlands. The current serious exodus of stock and people from the remote areas of the hills and uplands as a consequence of constant low income and increasing and apparently relentless unnecessary extra regulation has reduced the level of confidence in the future amongst producers to the lowest point for several generations even though good prices are currently being enjoyed. This paradox is very worrying and means that a totally unsustainable number of the younger people are still leaving the land. The effect of this is to put severe pressure on those who remain but as sheep farming is a business which involves constant application of skilled and sometimes hard physical labour, the next generation who are currently sourcing alternative employment, must be retained. Arguably sheep farming is one the most labour intensive of all the industries; equally it is an industry which provides the most tangible benefits in terms of delivering quality food, scenic landscape and environmental advantage. For many therefore it is sheep farming which performs the greatest service to the public in terms of delivering visual and spiritual benefit. However it is an industry which has had the poorest financial reward and as a consequence sustains the branch of farming under the most relentless financial pressure. NSA believes it is important for the Welsh Assembly Government to recognise this reality and put serious effort in to stopping the continual erosion of confidence which has been such a feature of sheep farming in the past few years. This forthcoming reform of the CAP offers an opportunity for Wales and its Government to be strong and seek to represent what it is that is precious to it and its people. NSA Cymru Wales would make the point that the production of quality sheepmeat and the landscape that is delivered as a consequence must be at the top of all that Wales stands for and it is therefore incumbent on the Government to fight for its well being.
