Horse Meat Scandal
Food producers and suppliers have been in the sport-light over the last few weeks as the beef contamination scandal that has engulfed most of Europe rumbles on. I use the word ‘scandal’ because it’s completely unacceptable that a product which is labelled as beef turns out to contain horse meat.
This is an issue of great concern not just to members of the public, who have been deliberately mislead by some unscrupulous producers and ignorant suppliers but also to the industry itself. I have taken calls from extremely concerned farmers and small abattoir owners in Montgomeryshire, who are fearful of the consequences this large-scale situation will have on the food industry, on their reputations and on consumer confidence.
Public confidence in the food chain has been dented. Consumers have a right to expect that food is exactly what it says on the label and the presence of unauthorised ingredients cannot be tolerated. However, this is not an issue of public health but rather public fraud, on an enormous scale and it’s clear that criminal elements have exploited a food supply system that is in desperate need of rebalancing.
If there is one positive element to come from this scandal, it’s that our major retail suppliers here in the UK are examining their supply chains not only for traceability but for sustainability. Farming leaders have thrown down the gauntlet to our big supermarkets and have challenged them to stop scouring the world for cheap meat and instead support British farmers and put honesty and provenance back at the heart of the food chain. I was pleased therefore, to see Tesco, Britain’s largest food retailer, re-evaluate its position very publically at the recent National Farmers Union conference and make a ‘sincere commitment’ that it will source much more of its meat from British producers. If that means more Montgomeryshire based produce on the shelves of our local supermarkets, I will be very happy indeed.
Groceries Adjudicator
I believe the role of the new Grocery Code Adjudicator, is going to have an important role in brokering better deals between British retailers and producers. The Grocery Code of Practice has been established by the UK Coalition Government after the Competition Commission identified serious competition issues in the groceries market and it will apply to the ten largest supermarkets and their direct suppliers. Farmers and suppliers have been in an unfair fight with the supermarkets for far too long. They have repeatedly complained about bullying tactics by retailers over prices and have had contractual agreements changed with no prior notice. The new Code prohibits retailers from imposing retrospective changes to terms and conditions of supply unless reasonable notice is given to the supplier in writing. If that notice is not given, the retailer must fully compensate the supplier for costs incurred as a result of their failure to do so.
The appointment of Christine Tacon as the Adjudicator designate has been welcomed by the farming industry because she has many years of experience of food and farming across both the commercial and public sector. I believe she will be a strong voice for the producer and she needs to be because many producers and suppliers are struggling to stay in business and this damages our local community and our local economy. A vibrant community needs farmers and suppliers and they deserve a fair deal.
CAP
Negotiations on the Common Agricultural Policy continue to progress. The Welsh Government published a consultation on the potential changes to Direct Payments following CAP Reform, on 6 February 2013 and a consultation on the Rural Development Programme for 2014-2020 on 31 January 2013. The consultation documents set out the Welsh Government’s initial views on the direction of the negotiations to date and set out potential implications and options for Wales.
CAP reform is the most important legislation that will affect the way farmers in Wales will farm for many years to come. Therefore, this is a perfect opportunity for the farming industry to input its views forward on an issue that will impact almost every farming business in Wales and I would urge all farming businesses in Powys to be involved in the consultation, either individually or through the farming unions.
At a Welsh level there are hugely important decisions that Welsh Government will need to make, once it has taken industry opinion, including how we move away from our current historic basis of payment. On most issues the industry and Government are on the same page and it is important that this close collaboration continues to secure the best possible deal for Welsh farmers.