Speaking to a Westminster Food & Nutrition Forum seminar in London last week (December 1) on ‘Policy priorities for the UK food, drink and farming industry’, Minette Batters, a tenant farmer of a mixed farming business in Wiltshire, also warned about the dangers of UK farming’s exposure to intense commodity price pressure outside the EU trading bloc.
“On labour this is really on red alert,” claimed Batters. “For our horticultural sector alone, we currently need 85,000 seasonal workers … That is set to rise to 95,000 by 2020. Now, for crops that are reliant on the human hand – strawberries, asparagus, flowers – we don’t have mechanisation as yet to pick those crops.
‘Seasonal agricultural workers scheme’
“But, even if we had not had a referendum, we would still be going to government to say there are not enough people wanting to come to the UK to pick our crops. So we are asking government for a global, seasonal agricultural workers scheme in order to replace the shortfall out of Europe.”
Batters pointed out that this problem was currently being compounded by the low value of the pound, which made it less attractive for overseas seasonal nationals to come to the UK to work, plus the fact that they were also “not feeling so welcome”.
“So, this sector is in absolute shock and unless we can sort it, we will have British fruit and veg rotting in the fields next year,” she warned.
She also called for full, unrestricted access to the EU single market. “It’s been a huge success story to trade tax-free with 500M consumers. There have been benefits to us. My goodness have our diets improved; we have access through Europe to the most fantastic food supply,” she said.
Batters used the example of the threat facing exports of British lamb to the EU were the UK not to have access to the single market.
‘It is a vital market for us’
“We are the largest producer of sheep meat in the EU and 38% of our lamb goes into the single market, so it is a vital market for us. Now, when Article 50 is triggered and the clock starts to tick, we will have two years,” she said.
“We know the challenges around the political landscape in Europe and if no decision is made in that two year period we will go to the WTO [World Trade Organisation] rules. That means our lamb exports will be trading with the ad valorem rate of 51% tariff. That will price British lamb out of the marketplace.”
Batters harked back to the period between 2001 and 2007 and the “horrific outbreaks of food and mouth” experienced in the UK, when the price of lamb “fell off a cliff”. She added: “There was one thing that kept those farmers in business and one thing alone and that was support payments.”
Batters called on UK policy makers to consider carefully what was required to continue feeding the nation with sustainable, home-produced food. “There are many parts of this country that only grow grass. You can do nothing else with them but have beef and sheep that are grazing. So there are lives and livelihoods that we are talking about and this clock will be ticking soon,” said Batters.
“It is really, really important that those farmers can step from an EU platform onto a UK platform.”
Lastly, Batters warned about turning the UK agriculture into a nation of niche producers. The future had to be both about protecting the environment and food production, she argued.
“It really is about quality, affordable food for everyone. That’s important. We must not turn our industry into niche product that the whole of this country does not have access to.”
Subsidies and support payments
To achieve this “we have to talk about subsidy”, she concluded. “We now have a wonderful new opportunity to present a new business plan to government and to the UK consumer about what you are actually going to get for that 23p a day [that is paid by every UK consumer under the Common Agricultural Policy].
“And that is about quality of water, healthy soils, and a priceless, beautiful and treasured landscape. But not forgetting measures to address market failure; to help the industry address productivity and become more competitive to the market and promote our products.”
Meanwhile, last week, the NFU joined leading food manufacturers, including 2 Sisters Food Group, Müller and others, in warning the Prime Minister that continued access to the EU Single Market and continental labour supplies would be vital after Brexit.