The Farmers’ Union of Wales has responded with dismay to the news that one of Wales’ biggest food companies, Castell Howell which employs around 700 staff, is having to consider job cuts because of the drop in hospitality trade caused by the covid-19 lockdown.

West Wales farmer and entrepreneur, Brian Jones, who formed Castell Howell Foods in the early 1980s, has previously been recognised for his services to agriculture with the Farmers’ Union of Wales External award for services to agriculture.

Responding to the news, FUW Carmarthenshire chairman Phil Jones said: “Brian has done so much for agriculture and his passion for Wales as a food destination has been second to none. His commitment to do what is good for Wales as well as His Celtic Pride brand has always been an example of that. 

“For the company to now face potential job losses because of covid-19 is heartbreaking to say the least. The wider consequences for the rural economy, suppliers and staff could be drastic if no alternative can be found. 

“We are hoping that this will be only a small blip in this company's future and that they can return to normality, increase their business growth as soon as possible and re-employ not just those that may have lost their jobs but many more.

“The consequences for the food service industry have been devastating and sadly Castell Howell have not been exempt. With this in mind we call on the Welsh Government to do all they can to assist the sector in recovering from the lockdown downturn as quickly as possible.”

The Farmers’ Union of Wales has written to Economy Minister, Ken Skates, following the news that British Wool has been denied covid-19 support through the Coronavirus Business Interruption Loan Scheme (CIBLs). 

The covid-19 pandemic has led to a significant drop in demand for wool as the global market for cross bred wool has been shut since February this year.  

The busiest selling period for GB and Welsh wool is between February and May each year and the impact of the coronavirus on wool sales has therefore been particularly acute. 

In its letter, the FUW highlighted the impact that the closure of wool markets would have on the price received by sheep farmers for their wool and highlighted that sheep producers must still pay for this year's shearing costs.  

FUW Deputy President Ian Rickman said: “The closure of normal wool markets has left British Wool with around one third of their wool stock unsold and this has had a direct impact on sheep producer incomes.  This unsold stock not only detrimentally affects calculated wool values, which are payable for the 2019-20 balance, but also means that British Wool are unable to pay an advance for this season’s wool.”  

Despite funding being made available to other wool purchasers,  British Wool has failed to qualify for support as they have been classified as a public sector body.  

“British Wool is wholly independent, self-funding and operates within a competitive market place.  We believe that British Wool should have fully qualified for support under the CBILs scheme or some other variation of covid-19 support for businesses.  

“Given the impact upon both the sector and upon primary producers, we have made our views known and have written to the Minister to call for a rethink on this funding decision,” added Ian Rickman. 

Farmers’ Union of Wales President Glyn Roberts has welcomed the fact that key concerns raised by the FUW in correspondence with members of the House of Lords were echoed by members across the political spectrum yesterday as the Agriculture Bill received its second reading in the house. 

The bill - considered to be the most important piece of UK legislation in relation to food and farming for more than 70 years - includes a clause that would ensure imported organic food from an overseas country is produced to standards equivalent to those applicable in the UK.

However, an attempt to introduce a similar clause requiring that any agricultural or food product imported into the UK under a trade agreement be produced to animal health and welfare, plant health and environmental protection standards equivalent to those in the UK was opposed by the UK Government and defeated during the third reading of the bill in the House of Commons on the 13th May 2020.

In a letter to members of the House of Lords, FUW President Glyn Roberts said “This has hugely angered farmers and consumers alike, not least given that the UK Government has committed to such a principle in numerous statements, and that maintaining UK standards and protecting consumers, farmers and food producers from sub-standard imports has cross-party support.

Farmers in Wales are calling on the public to help them avoid long term adverse impacts for UK food security  and consumer health.

The call comes as a result of the UK Government blocking a change to the Agriculture Bill which would prevent food produced to lower animal welfare and environmental standards than is required of UK producers from being imported into the UK after the Brexit Withdrawal period.

FUW President Glyn Roberts said: “Whichever way your MP voted, it's not too late to lobby them for the change to be reintroduced before the Agriculture Bill becomes law.

“You can send them a letter from our website making it clear that UK consumers and food producers deserve better, and let your voice be heard.”

The Agriculture Bill currently progressing through Parliament has, since being drafted by the UK Government, included a clause that would ensure imported organic food from an overseas country is produced to standards equivalent to those applicable in the UK.

An attempt to introduce a similar clause requiring that any agricultural or food product imported into the UK under a trade agreement be produced to animal health and welfare, plant health and environmental protection standards equivalent to those in the UK was opposed by the UK Government and defeated during the Third Reading of the Bill on the 13th May 2020.