NFU Cymru President, John Davies appeared before the House of Commons’ Welsh Affairs Committee as part of a one-off session looking at the implications of the UK/Australia free trade agreement for Wales.
Support needed to seek new export opportunities
Discussing the agreement reached last month, Mr Davies highlighted to the committee that there needs to be an increased focus from the UK Government in supporting the industry in seeking new export opportunities. He referenced the close links between Australia’s agricultural counsellors and their industry and their passion and ambition when selling their products in these negotiations was clear to see. Mr Davies said that it is really important the UK strengthens their export team.
The work of the Trade and Agriculutre Commission
Mr Davies also took the opportunity to speak about the work of the Trade and Agriculture Commission (TAC), and the importance of ensuring standards are upheld in trade deals with the benefits of trade liberalisation balanced against the future viability of the domestic agricultural sector. He re-iterated the union’s desire to see the government’s response to the TAC’s report of March 2021. Additionally, Mr Davies expressed his eagerness to see the Statutory Trade and Agriculture Commission established and, in a position, to critically examine the detail of the Australia deal and future trade agreements.
This deal sets the bar for future trade deals
In his evidence, Mr Davies said that the UK has to be really careful as this deal with Australia sets the bar for future trade deals and will be something that other countries will look to emulate. Referencing last year when we had a serious carcass imbalance due to the Covid-19 pandemic, Mr Davies spoke of how even a small increase in imports of certain cuts of meat had the potential to create such imbalance problems on the domestic market once again.
Systems and scales of production very different
In terms of production standards, Mr Davies said that when it comes to systems and scales of production, compared to those in the UK, Australia is very different with over half the cattle in Australia on feed lots of over 10,000 animals. When it comes to antibiotic usage, the levels used in Australia are significantly higher, with Australian farmers also having a greater range of plant protection products available to them than producers in the UK.
Mr Davies said that while there will be competition, here in Wales famers are in a strong position and have a fantastic opportunity to produce high quality protein from grass-based systems which is healthy and has strong environmental credentials. Mr Davies also spoke of the very clear vision NFU Cymru has for the sector to be the most nature friendly food producer in the world. He acknowledged that there is a massive challenge across the world in terms of climate change, in terms of nature and biodiversity, and the need for future trade agreements to come with appropriate checks, balances and safeguards to uphold our standards.
Re-evaluating farm support in Wales
With so much uncertainty around what the marketplace will look like in a few years’ time, Mr Davies called on Welsh Government to pause, review and re-evaluate the direction of travel for farm support in Wales. Mr Davies also spoke of the importance of the language, culture and community here in Wales. He said he passionately believes that farming forms the backbone of rural communities and we need to maintain that opportunity for our children, the same way our forefathers have.
Speaking after the meeting Mr Davies said: “I am grateful to the committee for the opportunity to appear before them. My key messages are all around the need to ensure that Wales’ farmers are able to compete on a level playing field and I hope that that message has been heard loud and clear.”