Why Wales Can’t Afford to Undervalue Farming

Why Wales Can’t Afford to Undervalue Farming

The true value of Welsh farming is at the heart of a fierce debate in Wales. This week, the First Minister made headlines by stating that farming contributes “less than 1% of GDP”, despite receiving £250 million a year in government funding. At first glance, this sounds like a straightforward economic fact, but this narrow view completely misses the bigger picture.

Here’s the reality:
100% of people in Wales eat.
A healthy sheep on a grass-fed farm, showcasing the sustainable value of Welsh farming.

Welsh Farming: More Than Just Numbers

Agriculture in Wales isn’t just about economics—it’s about survival. It underpins food security, sustains rural communities, protects Welsh cultural identity, and cares for our natural environment.

When policymakers reduce farming to a small percentage of GDP, they ignore its true value:

  • Food on our plates
  • Jobs in supply chains, food processing, and hospitality
  • Stewardship of the landscape tourists come to see
  • Protection of biodiversity and climate resilience
  • Preservation of the Welsh language and rural culture

This is about much more than balance sheets. The true value of Welsh farming is central to who we are as a nation.

Why Is Welsh Agriculture Under Pressure?

If farming’s share of GDP is shrinking, we need to ask:
Is this a natural shift, or is government policy part of the problem?

The Welsh Government controls key decisions affecting the sector:

  • Farm subsidy schemes (including the upcoming Sustainable Farming Scheme)
  • Land use regulations
  • Trade and market access
  • Climate and conservation rules

When farmers struggle, it reflects the policy environment, not just market forces. By framing this as farming’s failure, the government sidesteps responsibility for creating conditions where farming can thrive.

Rural Economy Wales: More Than GDP

Let’s put the numbers in perspective. In 2021:

  • Tourism contributed 5% of Wales’s GVA
  • Manufacturing made up 17.3%
  • Agriculture, forestry, and fishing combined contributed around 1.1%

But Welsh agriculture supports the foundations of our economy. Farmers:

This demonstrates the immense and often overlooked value of Welsh farming to our national infrastructure, and if we lose farming, we lose far more than a percentage point on a GDP chart.

Food Security in Wales Matters

In today’s world of climate change, wars, and global supply chain disruptions, local food production is not optional—it’s essential.

The last few years have taught us a harsh lesson: global supply chains are fragile. A crisis on the other side of the world can mean empty shelves in our own supermarkets. Prioritizing our own food production isn’t just about economics; it’s a matter of national resilience. A thriving Welsh agricultural sector is our best insurance policy against future shocks.

If we allow Welsh farming to decline, we increase our dependence on imports. That’s risky for our economy, our environment, and our communities.

And when farms disappear, rural Wales suffers. Jobs go. Young people leave. The Welsh language and culture fade from daily life.

A Call to Action for the Welsh Government

By saying farming contributes “less than 1%” to Wales’s economy, the First Minister has sparked backlash from farmers and rural organisations across the country.

It sends a message that the government fails to grasp the real value of Welsh farming, and farming generally.

Welsh farmers aren’t asking for special treatment. They’re asking for:

  • Fair policies that support sustainable agriculture
  • Respect for their contribution to the rural economy in Wales
  • A government that understands the strategic importance of food production

Because if farming fails in Wales, it won’t just be farmers who pay the price—it will be everyone.


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