Cost of living: Food costs rise as farmers struggle

Farmers have said they are struggling to absorb rising costs as food prices for consumers continue to climb.

NFU Cymru, which represents many farmers and growers in Wales, said fertiliser costs had doubled in a year, leaving some farmers "struggling to pay bills".

Price rises are already reaching customers, with one firm warning of 15% increased in food prices this year.

The Welsh government said price rises for famers were "concerning".

NFU Cymru said the price of fertiliser had risen 200% in the past year, while animal feed had increased 60%, with the war in Ukraine now limiting the supply of raw ingredients.

Its deputy president, Abi Reader, said: "It genuinely feels quite desperate.

"There are farmers who are struggling to pay bills, as I'm sure there are people and households [struggling with] paying bills.

"This is about trying to get our ducks in a row, we are going to have to get a little bit of coordination here as a nation to make sure we can control, as best we can, the food supply, and make sure that people anywhere can afford food, regardless of the price."

NFU Cymru wants the Welsh government to coordinate a response to rising prices and shortages of some products.

Ms Reader said the response to the pandemic had shown how Welsh government could coordinate supply chains and some of the groups it formed should be "reincarnated".

"We learned a lot of lessons, we had a lot of dialogue - we need to reincarnate that, these groups need to get going again."

The Welsh government said it was monitoring the situation via the UK Agriculture Market Monitoring Group and would continue its Basic Payment Scheme for farmers until the end of 2023.

"We have been clear collaborative working is vital in achieving our goals for the industry, and the minister for rural affairs holds regular discussions with unions, farmers and producers, as well as the UK government and counterparts in Scotland and Northern Ireland, who she also spoke with again on Monday," a spokesman said.

The recovery of global economies following the worst of the pandemic has increased demand for fertiliser and oil, sending prices higher.

But, the war in Ukraine is likely to further increase food prices - Russia and Ukraine are among the world's main suppliers of wheat and the conflict is expected to reduce exports.

Soaring energy costs are also contributing to higher prices for farms and food processors.

The boss of food processing firm 2 Sisters said the cost of food could rise by 15% this year, with a jump in the cost of chicken from farms.

Rising bills have forced the Williams family from Whitchurch in Cardiff to reconsider what they spend their money on.

Mother Sally said: "We can definitely see a difference in food bills, having a family of two children who eat a lot, prices have gone up - and they are quite big eaters."

Phoebe, 14, said she and her brother Ben, 11, would have to do their bit.

"We have to do things like switch lights off more and when we have charged our phones we have to not leave the plug switched on," she added.

"There is stuff that we are doing to try and help, we get a lift home from school most days and now that it is becoming nicer weather, we are going to have to start walking."

Ben added: "I don't think I am going to have as much money to go out at weekends and buy food and stuff."

Rising prices have taken the family by surprise.

Sally said: "Previously we have been pretty easy going, we just pay the bills, however it is in the news this week and we have definitely started to realise."

"Coffee shops are going to become a thing of the past, aren't they?" Richard added.