The Farmers' Union of Wales has highlighted key concerns relating to the future of the Common Agricultural Policy after 2013 during a meeting with Rural Affairs Minister Elin Jones.
During the meeting at the Royal Welsh Winter Fair, the union told the minister that, aside from major concerns regarding overarching issues such as the CAP budget and ensuring a fairer share for Wales, it was essential that the final agreement allowed Wales to operate a system which was equitable for Welsh farm businesses.
Speaking after the meeting, FUW President Gareth Vaughan said: "The minister is well aware of our concerns regarding the broad issues of the CAP budget, ensuring that agriculture remains the focus of the CAP, and the need for a slow transition to flat-rate payments.
"However, it is also important that Wales is not backed into a corner by the details of the regulations which come into force after 2013.
"We therefore urged the minister to ensure that the options available allow Wales to distribute payments to farm businesses in a way which minimises disruption for family farms of all sizes and types within Wales."
With the current historically based Single Payment system expected to be gradually replaced after 2013 by some form of flat-rate payment per hectare, the union's concerns highlight the dangers of being lumbered with a system which could cause massive disruption for the Welsh industry.
"Research published by the union in 2009 identified the damage that an overly simplistic flat-rate payment system would cause for Welsh farming families, and we therefore need CAP regulations which allow a flexible system which minimises disruption."
The union also highlighted the fact that it retained an open mind to the issue of capping or tapering direct payments.
"It would not be in the interests of Welsh farmers for us to close our minds to the possible merits of capping or tapering payments before scrutinising the detailed analyses of possible payment models which the minister has assured us will be undertaken over the coming months."
Also high on the agenda was the need for a simplified CAP and equitable penalty system for both farmers and Member States.
"The current system is disgraceful in the way that genuine errors can lead to massive penalties for farmers, and the draconian fines that can apply to Member States or regions due to the authorities and the EU auditors interpreting regulations differently.
"The current system means that authorities which behave in a moral way can be penalised for being perceived as not interpreting rules properly, yet in many cases the rules are ambiguous, and the Commission will not provide clear guidance on specific interpretations.
"The post 2013 CAP regulations should ensure that both farmers and the authorities are treated fairly, and that the penalties applied at all levels are proportionate."