Food for Thought

The farming industry is often criticised for not speaking with a united voice. So it is great to see a statement from over 25 organisations in the UK livestock sector setting out objections to the government's cost-sharing proposals.

The statement points out that the cost to the livestock sectors of this autumn’s animal disease outbreaks – caused in part by a leak from a Government-regulated research facility – is at least £100 million. In addition, the entire sector is suffering from rocketing feed and energy costs, to which prices have yet to adjust.

“To suggest, against that background, that the industry should be picking up additional costs from Government is divorced from reality”, the statement says.

The news that supermarkets and milk processors have agreed to pay £116m in fines because of their involvement in retail price initiatives is getting afrmers talking on FWiSpace.

Here's the OFT's full statement:

Following the OFT's Statement of Objections (SO) of 20 September 2007 which provisionally found evidence of collusion between certain large supermarkets (Asda, Morrisons, Safeway, Sainsbury's and Tesco) and dairy processors (Arla, Dairy Crest, Lactalis McLelland, The Cheese Company (formerly Glanbia Foods Limited) and Wiseman) on the retail prices of some dairy products, certain of these parties have now admitted involvement in anti-competitive practices and have agreed to pay individual penalties which, combined, come to a maximum of over £116 million.

With a view to maintaining strong and effective competition law, the OFT will continue with its case against the remaining parties.

The SO set out the OFT's provisional findings that certain large supermarkets and dairy processors have colluded to increase the retail prices of one or more of liquid milk, value butter and UK produced cheese. The OFT's provisional findings were that the collusion took place through the sharing of commercially sensitive information in 2002 and, in some cases, in 2003. Details on the scope of the OFT's infringement allegations are set out below.

The OFT has now concluded early resolution agreements with Asda, Dairy Crest, Safeway (in relation to conduct prior to its acquisition by Morrisons), Sainsbury's, The Cheese Company and Wiseman based upon the provisional findings made in the SO. These parties have all admitted involvement in certain of the anti-competitive practices identified by the OFT in the SO and have undertaken to co-operate fully with the OFT in its investigation, including providing further evidence as far as reasonably possible.

These parties have accepted a liability in principle, and will pay penalties which amount to a maximum of over £116 million. However each party will receive a significant reduction in the financial penalty that would otherwise have been imposed on it, on condition that it continues to provide full co-operation.

The OFT has also taken into account information provided by the parties involved in the early resolution discussions which demonstrated the pressures they were under at this time to support dairy farmers.

Just last week a coalition of nearly 30 farm organisations told DEFRA that to charge livestock farmers for dealing with animal disease outbreaks (a plan known as cost-sharing) was "divorced from reality".

They pointed out - quite rightly - that the foot-and-mouth outbreak has cost the industry £100m and the sector is also suffering from rocketing feed and energy costs.

But DEFRA's response is to today publish a consultation which seeks views on how the farming industry could be further involved in the decision-making process for animal health and welfare..."and the principles of how the funding for animal health and welfare can be shared between government and the industry in the future."

It would seem that the industry's pleas have so far fallen on deaf ears.

Does this not explain why many farmers have no trust in DEFRA and no respect for DEFRA?

This is probably going to make me sound really ungrateful, but I have just been sent an electronic Christmas card from the press team at DEFRA which has left me feeling rather underwhelmed.

It was a kind thought - but the design is so....environmentally worthy. Where's the glitter and snowmen? Where's the cartoon Santa? How about an angel or two?

That they've gone to the trouble is nice. But it is hardly "merry" Christmas.

Here's something to get you in the festive mood - a Christmas quiz. It is just for fun - no prize I am afraid!

1) In the song, the 12 days of Christmas, what gift did my true love give to me on the 7th day of Christmas?

2). Who wrote the song "I’m dreaming of a white Christmas"?

3) Who popularised the Christmas tree in England in the 19th century?

4). When Kevin is left 'Home Alone' for the first time, where is the family’s destination for their Christmas vacation?

5). What is the name of the fruit sauce which is a traditional accompaniment to the Christmas Turkey?

6). On what did Marley's ghostly face first appear to Scrooge in Dickens' A Christmas Carol?

7). Which word, associated with Christmas, comes from a Greek word meaning "we can act anything"?

8). "Christmas won't be Christmas without any presents" is the first line from which literary classic by Louisa May Alcott?

9). Whose is the first voice to be heard on the original recording of Band Aid's 'Do they Know It's Christmas?

10). True or false: The traditional Christmas dinner in early England was the head of a pig prepared with mustard.

The answers will go up tomorrow.

As promised here are the answers for yesterday's quiz.

You can always let me know how many got right...

Still searching for that special Christmas present?

Well, how about these amazing pictures from artist Caroline Shotton, I particularly like the bovine version of the Mona Lisa!

Everyone loves a list, so we've compiled a list of the top ten most read stories on FWi in 2007.

It becomes apparent that out readers like nothing more than a story about a big, expensive tractor that they probably can't afford!

Christmas: The time when everyone gets Santamental.

Question: Why does Santa have 3 gardens?

Here's the top 5 blog posts from any of the Farmers Weekly Group blogs in 2007:

1) Tractor mystery revealed
2) Shaun the sheep
3) Kill it, Cook it, Eat it
4) Hanging on the Line
5) Farming on TV again