Supermarket directors have told NFU Cymru they accept that home-produced food will not be available unless producers make a fair and decent living.
“This time I am beginning to believe them,” Peredur Hughes, the union’s president, told a press conference at the Welsh Winter Fair.
“It seems to me that they increasingly recognise that when it comes to satisfying customers, local sourcing is the way forward, so they want to reconnect with farming.”
As he approached the end of his term in office, Mr Hughes said he felt positive about the future for the beef and sheep industries in Wales.
“Next year has the potential to be a very positive one for producers if all the pieces of the industry jigsaw fit comfortably and all sections of the supply chain work together,” he told the gathering at Builth Wells.