Policy Update - June 2024

·        Defra has announced the launch of a new expert advisory committee to explore possible routes to generate commercial returns from the departments R&D and innovation spending.

 

·        Details of the expanded and improved Sustainable Farming Incentive, which will apply from July, have been published.20 new options have been added to support more sustainable food production including payments for precision farming and more actions for tenants on short term contracts.

 

·        The Welsh Government has confirmed that the Sustainable Farming Scheme in Wales will be postponed until 2026 and the Basic Payment Scheme will continue in 2025.

 

·        Data has been published on the UK’s carbon footprint in 2021:

o   Between 2020 and 2021 the footprint increased by 15% reflecting increased   emissions from all activities but especially from imported goods.

o   Greenhouse gas emissions associated with imports from China has risen by 114% since 1996.

o   Emissions relating to the consumption of goods and services produced in the UK have fallen by 54% since 1996.

 

·        The results of the Feb 2023 Farm Practices Survey show that:

o   56% of farm holdings have a nutrient management plan.  

o   9% of farms process waste by anaerobic digestion up from 5% 5 years earlier 

o   53% of farms are taking measures to reduce their greenhouse gas emissions mainly by improving energy efficiency and recycling waste materials.

o   81% of farms spread manure on grass or arable land whilst 84% spread fertiliser.

o   75% of farms store manure in heaps in fields or on a solid base while 11% store slurry in storage tanks

o   73% of livestock farms have a Farm Health Plan

o   74% of livestock farms sow some or all of their temporary grassland with a clover mix with high sugars grasses sown on 59% of holdings.

o   71% of livestock farmers use a ration formulation programme or nutritional advice.

 

·        AHDB and Quality Meat Scotland are investing £2.5m to create the opportunity for a nationwide standardised data set across all sectors including dairy. This will enable more accurate reporting of emissions and the environmental impact of agriculture. 170 farms will be involved in the pilot scheme.

 

·        The Welsh Government is to provide £20m to support farms in becoming compliant with the Agricultural Pollution regulations by enabling them to invest in on-farm infrastructure.

 

·        The 2024 Tesco Agri T-Jam start up competition is open for applications from agri-tech innovations which will help its supply chain achieve net zero, protect and restore nature and improve animal health and welfare.

 

·        New planning laws have come into effect which will enable farmers to convert unused buildings into new homes and business opportunities. The permitted develop rights allow for up to 10 homes without needing to submit a planning application, subject to space and natural light conditions.

 

·        Statistics on farm business management in England in the year to Feb 2023 have been published. These show:

o   86% of farms undertook at least one business management practice with the production of an informal plan being the most common at 60%

o   81% of livestock farms had no animal health insurance

o   23% of farms attended discussion groups on business management issues with lowland grazing livestock farms being the least likely to attend.

o   31% of farms regularly produced financial accounts, down 2% on 2016/17

 

·        The UK milk price fell in March and initial estimates for April indicate a further reduction. The UK average all milk price for March reported in April was 38.13 p/l,5.45 p/l below the price a year earlier.

 

·        APHA has advised that there is a high probability of a new introduction of Bluetongue virus (BTV-3) into livestock in GB this year through biting midges being blown over from Northern Europe.

 

·        Defra has reported that any vaccine against bluetongue must go through full market authorisation despite the fact that a vaccine had been given emergency approval in the Netherlands where there had been more than 6000 cases.

 

·        The number of new herd bovine TB incidents in the year to Dec 2023 in England fell by 17%, compared to a year earlier. There was a fall of 18% in Scotland but an increase of 3% in Wales. The number of herds not officially TB free in England fell by 8%.

 

·        GB registrations of calves born to dairy dams totalled 406,000 in the 1st quarter of 2024, up 0.7% on a year earlier and the highest ever recorded figures for Q1.

 

·        During March, liquid milk production increased by 24%, compared to February, to 592 million litres; cheese production increased by 26% to 48,700 tonnes; milk powder production increased by 16% to 5,100 tonnes but butter production fell by 9.9% to 14,000 tonnes.

 

·        Arla has increased its conventional price by 0.45 p/l to 40.45 p/l/ while organic producers will see an increase of 1.34 p/l to 49.88 p/l. Müller has increased its price by 0.5 p/l to 38 p/l.

 

·        The Animal Centred Controlled Environment for Dairy project, undertaken by Gale breaker and Smartbell and supported by Innovate UK, has revealed that cows housed with a mechanical ventilation system are more resilient to heat stress and can maintain milk yields for longer.

 

·        The 2024/25 Recommended Grass and Clover lists have been published and include 11 new varieties 

 

·        In the 1st three months of 2024, exports of dairy products fell by 0.7%, compared to a year earlier, to 327,300 tonnes. Exports of cheese products rose by 9800 tonnes, whey and whey products by 2900 tonnes and yoghurt by 1700 tonnes but milk, powdered milk and butter all registered declines. Imports grew by 5.7% to 271,000 tonnes.

 

·        Robin Thompson has been appointed the Supply Chain Adjudicator to enforce powers outlined in the new dairy regulation legislation which takes effect on 9 July.

 

·        Rabobank is forecasting a decline of 8% this year in China’s imports of dairy products as a result of dairy production growth of 3.2% and weaker demand. It is feared that this will impact on UK producers as China’s largest supplier, New Zealand, will need to find replacement outlets.

 

·        King’s Awards for Enterprise have been granted to ADF Milking for its patented milking technology, to Cornish machinery manufacturer Teagle, to Warrendale Wagyu and Millbrook Dairy.

 

·        King Charles has agreed to be the Patron of the Royal Horticulture Society, the Royal Agricultural Society of England, the Royal Highland and Agricultural Society of Scotland, the Royal Welsh Agricultural Society and ourselves. His patronage of the Yorkshire Agricultural Society and the Soil Association will continue.

 

Hope that’s of interest.

As ever happy to answer any queries/questions

Tim

Tim Brigstocke

Policy Director, RABDF