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Dairy Review announced to boost sector confidence

While officially opening the Welsh Dairy Show in Carmarthen yesterday, the Deputy Minister for Farming and Food, Rebecca Evans announced an independent review of the dairy sector in Wales.

The Deputy Minister said her Dairy Task Force, which was established in 2012 to advise Welsh Government on the strategic direction of the dairy industry in Wales, would be asked to help identify who should be asked to lead the review some two years after the launch of the Plan for Milk.

The Deputy Minister said she hoped the review would suggest measures that would help improve confidence in the sector, which has recently taken a dip with some buyers announcing reductions in prices and markets being disadvantaged by the Russian trade ban.

Rebecca Evans said,

“The cut to the milk price this autumn is of significant concern to me, particularly in terms of the likely effect this is having on the confidence of the industry as a whole.

“Welsh Dairy is entering another period of change, as milk supply and the demand for dairy products re-balance. I feel that now is the right time to review the industry here in Wales.

“I am keen to move fast with the Dairy Review and will be consulting my Dairy Task Force as matter of urgency on who should carry out this work this important piece of work.

“The Review comes at a critical time for the dairy sector in Wales. I hope that each and every one of you, through your representative bodies, will engage with it, so that we can all have confidence moving forward and seek to put the sector on the firmest possible footing for the future.”

The Deputy Minister said now was the right time to review matters given that pressure from outside Wales and the UK will increase further when milk quotas end in March and in light of the recently published review of the Voluntary Code.

She said,

“We simply must not enter 2015 cutting back our production at the very time our European neighbours have plans to expand. I firmly believe that we can compete with them.

“We have ideal conditions for growing grass in Wales. We have, compared to most European countries, a good industry structure, with a viable farm and herd size. We have cows of high genetic merit and skilled farmers able to get the best from them. I know there is a secure and profitable future in this industry and am committed to doing all I can to help support it.”

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Channel website: http://gov.wales

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