Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs,, what assessment his Department has made of the economic impact on British farms of fuel price increases.

The situation and impacts on farmers in particular, and industry more widely, of increasing fuel prices, are being monitored closely. Defra is in regular contact with key industry figures including the National Farmers Union, the Agriculture and Horticulture Development Board and key sector representatives.

The Government has announced steps to assist farmers with the availability of fertilisers to address uncertainty amongst growers and keep costs down for farmers, such as delaying changes to the use of urea fertiliser by at least a year to help farmer manage costs in light of pressure on the supply of ammonium nitrate fertilisers. Alongside revised and improved statutory guidance on the use of slurry and other manures during autumn and winter, we have introduced new slurry storage grants to help farmers meet the Farming Rules for Water and reducing dependence on artificial fertilisers by storing organic nutrients until needed or for onward processing.

Alongside these measures, further details of the Sustainable Farming Incentive have also been published today. Given current fertiliser prices, the priority must be to pioneer new technologies to manufacture more organic-based fertiliser products, and rediscover techniques such as using nitrogen fixing legumes and clovers as an alternative to fertiliser.

We have also released further details of the Sustainable Farming Incentive which will help farmers move towards sustainable farming practices over time. The Government will pay farmers to help them with the costs of sowing nitrogen fixing plants and green manures in their crops or in advance of their crops to substitute some of their fertiliser requirements for the coming season and reduce their dependence on manufactured fertilisers linked to the price of gas.

We will continue to engage with industry and farmers to understand any potential pressures and options to mitigate any risks, including through the recently established industry fertiliser roundtable and expanded Market Monitoring Group.