Rising costs leave farmers 'bereft of confidence'

"Huge cost increases" as a result of the conflict in the Middle East have left the farming industry "bereft of confidence", the President of the National Farmers' Union (NFU) has said.

Tom Bradshaw said the conflict had put "massive upward pressure" on costs of energy, fertiliser and animal feed which were "such an important part of South West and particularly Devon farming".

In March, the NFU warned food prices were likely to rise because farmers were unable to absorb all of the extra costs they faced.

Emma Reynolds, Secretary of State for Food, Environment and Rural Affairs said the Government was "committed to protecting the farming sector from global pressures including the war in Iran".

Reynolds added: "This Government is taking decisive action to support farmers by cutting red diesel to its lowest rate in over 20 years."

Bradshaw said: "We've got a farming industry bereft of confidence.

"We've got geopolitics that is creating volatility like we've never seen before.

"At the moment a lot of our members are feeling like the squeezed middle, where all of the costs are coming up to farm level and the processors and retailers are trying to stop any inflation coming up the supply chain.

"Farmers are finding it very difficult to make their businesses viable for the future," he added.

Bradshaw said environmental land management schemes (ELMs) and Sustainable Farming Incentive (SFI) had left farmers more "exposed to global markets", and increasing Government support for farmers would help improve food security.

"We're producing less beef, less cereals, less vegetables, less poultry than we were over the past decade. That is not a resilient food system that 70 million people rely on every day."

It comes as the Government announced a support package for motorists.

This included a cut in fuel duty of more than a third on red diesel - a move expected to support farmers who use it in their tractors and other agricultural machinery.

The Government said the changes would help keep the cost of doing business down at a difficult time when red diesel prices are around 50% more than their levels before the conflict.

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