Welsh Dairy Sector in Need of Support as 17% of Farmers Exit Amid Rising Costs and Policy Uncertainty

United Kingdom (UK) 22.10.2024

Source: DairyNews.today

At the Welsh Dairy Show on 22 October, NFU Cymru called for greater support from both the government and consumers to help the Welsh dairy sector, which is facing increasing challenges. Over the last five years, 17% of dairy farmers in Wales have left the industry, with rising costs, environmental regulations, bovine TB, and market volatility cited as major reasons for the decline.

Welsh Dairy Sector in Need of Support as 17% of Farmers Exit Amid Rising Costs and Policy Uncertainty

The Welsh dairy industry, which contributes over £850 million to the Welsh economy and represents nearly half of the gross agricultural output, is in urgent need of a "confidence boost," according to Jonathan Wilkinson, chairman of NFU Cymru's dairy board. He emphasized the importance of consumer support by purchasing local dairy products and urged the government to address the sector's pressing challenges to ensure the sustainability of Welsh dairy farming for future generations.

Wilkinson highlighted that uncertainty surrounding future policies like the proposed Sustainable Farming Scheme (SFS), high interest rates, and capital investment requirements are also restricting farmers' ability to invest in their operations. The departure of over 280 dairy farms over the last five years underscores the need for immediate intervention to safeguard the future of Welsh dairy farming.