– in the Senedd at 4:10 pm on 23 January 2018.
We move on to item 5, which is a statement by the Cabinet Secretary for Energy, Planning and Rural Affairs on the food and drink industry, and I call on Lesley Griffiths, as the Cabinet Secretary, to introduce the statement.
Thank you, Deputy Presiding Officer. Our Welsh food and drink industry continues to go from strength to strength. Since I last addressed Plenary, in November 2016, the industry’s sales turnover has increased strongly from £6.1 billion to £6.9 billion. We stand on the threshold of the £7 billion target of 'Towards Sustainable Growth', the food and drink action plan set in 2014, to be reached by 2020. This is tremendous progress. It reflects the hard work and effort by businesses across Wales, large and small. It is a result for forward thinking strategy and for the determined action to see it through. It is an outcome founded on partnership, working directly with businesses, our expert food technology centres, and the food and drink Wales industry board.
Over the last 12 months there have been many successes. BlasCymru/TasteWales was Wales’s first international trade event. It put Wales on the map in our aspiration to be a food nation. Business generated is projected to reach over £22 million. BlasCymru/TasteWales will become our signature showcase event in bringing Wales to the world, and also the world to Wales, with the next event planned for March 2019.
Last November, we held a celebration of our Great Taste awards winners and our protected food name products. Yet again, the industry has done extremely well, with 165 Great Taste winners at the 2017 UK awards. Our tally of protected food name products has risen to 14, with six having gained this European status in 2017. Protected food names are an internationally-recognised badge of authenticity and originality. Collectively, these winners are building our reputation and brand, placing us on a global stage.
Our successes are built on focused direction and support, which is creating confidence and providing the means for businesses to do more. Our business support packages have invested in innovation, in marketing and in our people. Investment approved through the food business investment scheme now stands at nearly £30 million approved for 34 expanding businesses. Project Helix is encouraging a culture of innovation and entrepreneurship and, supported by an investment of £21 million, practical support is delivering new products and processes to meet market demand and maximise value.
Our business cluster programme revolves around six key clusters and special interest groups, involving 410 businesses actively engaged in important business areas of the food and drink action plan. As common interest groups, clusters are a powerful engine for driving growth, opening new opportunities, adding value and creating stronger supply chains.
However, this is not just about the numbers. Food is about people—their health and well-being. At the grass roots, the Cabinet Secretary for Education has provided £0.5 million to support a school holiday anti-hunger initiative for primary schools. At the strategic level, work is starting on an obesity strategy for Wales.
Of course, Brexit remains a huge challenge. We must embrace change in mindset, processes and structures. Brexit is causing a worrying level of uncertainty about what the next few years will bring. The Welsh Government has voiced strong concerns about the UK Government’s stance. The wrong decisions and a poor Brexit deal will have long-lasting and far-reaching consequences.
I am facing the challenge and responding by increasing the pace and intensity of the Welsh Government’s effort and support. I've allocated an additional £2.8 million investment for a fit-for-market sector readiness programme and essential preparation to deliver new initiatives and to expand the support initiatives already under way. This new investment will support and help to futureproof the food and drink action plan and support the skills needed by our people.
In the autumn I attended Invest in Skills, Invest in Growth, the first Welsh food and drinks skills conference. I listened to what the industry was telling me, and it’s loud and clear: it has significant skills gaps, which Brexit could make worse by the uncertainty faced by our valued EU migrant workers. My message is clear to them: we value your contribution and we want you to stay in Wales. I announced the need to develop an employability and skills plan for the industry, and the board will be inviting discussion on draft measures at a follow-up conference next month.
A strong international presence is central to raising our profile and realises our vision to position Wales as a food nation capable of supplying the UK and international markets. At Anuga, Cologne’s global food and drink trade fair, I announced an additional £1.5 million for our red meat agency partner Hybu Cig Cymru to deliver an enhanced export development programme, specifically for market access in new markets and defending the current position. Although exports grew to £436 million in 2016, our most important market is the UK, where we trade the greatest level of production. Brexit requires a significant realignment of food industry supply chains. We will build on import opportunities and seek to substitute Welsh food and drink products. We are working with retailers and food service businesses, the Wales Retail Consortium and the Food and Drink Wales industry board to make this happen.
The interest in our wonderful Welsh food and drink has never been greater. The quality, service and originality of the Welsh offer are recognised across the world. We know consumer interest in Welsh products is increasing across the UK, with people perceiving the inherent value of Welshness. We will build on these values to support brand Wales.
We stand at the halfway point of 'Towards Sustainable Growth', our increasingly successful action plan to 2020, and close to reaching our headline target. Wales's food and drink industry is a huge asset. It contributes increasingly to our economy and is now rightly recognised as a foundation sector with priority status in 'Prosperity for All', in the Welsh Government's new action plan for the economy. It generates wealth and strengthens the economy regionally and nationally. It creates jobs and careers where skills matter. It adds value to our agricultural produce and it brings prestige to our nation, with a growing profile and reputation throughout the world.
Through continued focus on what works, and through an internal and external readiness for Brexit, we will be fully fit for market, with industry structures that are optimal for performance. I have every confidence we will continue to succeed, and, with leadership and good skills support, make the best of Brexit and deliver for Wales.
Thank you. Paul Davies.
Thank you, Deputy Presiding Officer, and can I thank the Cabinet Secretary for her statement this afternoon? This statement is particularly timely as this morning I hosted the annual Farmers Union of Wales farmhouse breakfast in the Pierhead, which gave Members a great opportunity to sample a hearty Welsh breakfast and to discuss some of the opportunities and challenges facing the Welsh food and drink sector.
Now, we on this side of the Chamber share the Cabinet Secretary's ambition to grow the sector by 30 per cent by 2020, and it's great to see in today's statement that the sector has continued to grow. Of course, that also means that, as Britain prepares to leave the European Union, it's absolutely crucial that Governments at all levels are working together to prioritise our food and drink industry and ensure that our domestic market remains strong.
I appreciate that the Welsh Government has been reviewing its export support for Welsh food and drink businesses, but perhaps the Cabinet Secretary could provide us with some more detail on the Welsh Government's work in this area, both in the short and longer term, so that we can better understand the Government's strategic objectives. It's crucial that Welsh producers reach new markets, and today's statement references BlasCymru, which has been a success. However, I'd be grateful if the Cabinet Secretary could provide a bit more detail on how BlasCymru has identified technological advances in the food and drink industry and bridged together Welsh businesses with academic institutions and research providers.
Now, I'm sure that all Members would agree that it's important that more can and should be done to promote Welsh produce, not just abroad, but here at home too, given that our most important market is the UK. Indeed, research conducted by Food and Drink Wales showed that the value of Welshness is growing and that more and more people across Wales would prefer to buy more Welsh products, but are hampered by availability. In light of the recent 'Value of Welshness' report, could the Cabinet Secretary confirm what new approaches are being considered to ensure Welsh produce is made more available to domestic consumers? Could she also tell us what discussions the Welsh Government has had with supermarkets and retailers about ways in which they could help promote Welsh produce more locally?
Now, one of the food and drink action plan's key actions is to address the skills gaps across the food supply chain through devising and revising the current training and skills programme. Now, today's statement refers to an employability and skills plan for the industry, and I note the Cabinet Secretary will be inviting discussion on draft measures at a follow-up conference next month. As the Cabinet Secretary is already aware, I've long supported the need to demonstrate measurable outcomes in this area, so perhaps she will now commit to publishing job creation statistics alongside the publication of this particular plan.
Now, it's essential that all parts of Wales are receiving funding for food and drink projects, and that funding isn't consolidated to certain parts of Wales—projects and producers from all corners of Wales must feel supported by the Welsh Government. So, therefore, will the Cabinet Secretary commit to publishing the amount of Welsh Government funding that has been allocated to the food and drink industry by local authority, so that Members can be confident that all funding streams are transparent and that all parts of Wales are receiving their fair share of any Welsh Government funding?
I'm pleased that today's statement recognises that a strong food strategy is integral to the Welsh Government's public health objectives, and that the Cabinet Secretary for Education has provided additional funds in this particular area. It's crucial that the Welsh Government develops a healthy lifestyle eating culture in schools, including projects around the growing, preparing and cooking of food, as well as learning about balancing diet and exercise. Therefore, I'd be grateful if the Cabinet Secretary could tell us a bit more about the actions that have been taken to meet this particular objective, so that we can better understand the Welsh Government's progress in this area.
And, finally, Deputy Presiding Officer, I'm delighted that the food and drink plan proposed that a food festival association should be developed, and I hope that in responding to this the Cabinet Secretary will outline more about the specific action and update us on the work of the food festival association.
Therefore, in closing, can I once again thank the Cabinet Secretary for her statement? I look forward to hearing more about the Welsh Government's plans to protect the sustainability of the Welsh food and drink sector in both the short term and longer term. Thank you.
Thank you, Paul Davies, for the series of questions, and I was very pleased to speak at the FUW breakfast this morning that Paul referred to, that he sponsored. Unfortunately, I didn't get any breakfast but that's quite often an issue when you go to these events and you're whizzed past all the food. But it was very good to see so many people there enjoying Welsh produce absolutely at its finest, and linking our agricultural sector with our food and drink, which I think unfortunately sometimes gets lost in translation.
You're quite right that that very ambitious target—. I remember sitting in Cabinet when my predecessor's predecessor, Alun Davies, announced this target of increasing our food and drink industry to £7 billion by 2020 and thinking we would never achieve that, so to achieve—. I'm sure when the 2017 data comes out we will have certainly achieved that, but to get to £6.9 billion by 2016 is a tremendous accomplishment, and, as I say, it's down to the hard work of so many of our businesses.
You referred to export support and, certainly, the challenges of Brexit mean that we need to look at new markets, and that's why we've put significant funding into export programmes, for instance, in encouraging our companies to look at it. I just wanted to give some recent figures around export, because it does show that Welsh food and drink exports have increased by almost 20 per cent, from £264 million in 2015 to £337 million in—. Sorry, 2015, and that's up to 2016-17. Seventy two per cent of exports go to the European Union, so you can see how much uncertainty is being created and why we need to look for new markets. That actually compares to a 9.5 per cent increase for the UK as a whole, so you can see how successful we are being in Wales. And I mentioned that I'd given further funding of £1.5 million to Hybu Cig Cymru, which I announced back in October at Anuga in Cologne to develop an enhanced export development programme. Certainly, my first discussion with HCC is that I've told them I want them to be as ambitious as possible to meet that, but it would be great if they could exceed it, and I hope that they will.
You referred to Blas Cymru. That was a great success and, again, my predecessor, Carl Sargeant, that was his idea to bring the world to Wales, and I think it exceeded all our expectations. I know that, up to now, we've had an increase of £7 million extra business from it but, again, it's hoped that we could get up to possibly £22 million. I would have liked to have done one every year, but it is a huge event so we're going to do it now in March of next year. Again, it will be a much bigger event.
You talked about the value of Welshness and I think that's a really pertinent point. Certainly, I have had discussions with many supermarkets, and, if you go to somewhere like Morrisons for instance, you see the Blas Cymru from your own constituency, and you see people searching out that label. I think we need to look to all our supermarkets to make sure they increase it. And, as I say, I have had discussions with—I can't think of any supermarket that I haven't had a discussion with and they certainly feel more willing and able to take our produce.
Skills is obviously a very important issue and I mentioned the conference that the Food and Drink Wales industry board held here in Cardiff in October. The next one is in Llandudno, I think, next month—certainly up in north Wales. They told me about the gaps. It is a concern that, if we aren't able to have EU migrants working in the way that they're currently doing, those gaps won't be filled. So, it is absolutely right that we need to ensure that our businesses are fully equipped with the right skills and training support.
You asked me if I would publish job creation statistics. Certainly, if I have those, I'd be very happy to do that. It might be on a whole-Wales basis but I'll certainly look to doing that.FootnoteLink
Funding is very important and you're right, we can't just give different pockets of Wales the funding. But, certainly—you know, I travel all over Wales. I was up in north Wales—I visited two food companies last Thursday. One of them was Siwgr a Sbeis—many Members will be aware of their cakes, and they've had some funding from us. Then, yesterday, I was down in west Wales visiting companies. So, certainly I think it's there. Again, I'm not sure if we hold that information on a local authority basis but, certainly, if we hold it on a region basis, I'll be very happy to do that.
Public health is obviously very important and you'll be aware that the Welsh Government is producing an obesity strategy. I think it's now going to be published next year, in 2019, and, clearly, if we can help our children eat healthily today, we obviously create healthy adults. So, I think it's very important that we link in with public health.
Food festivals, again, I think are a huge success and I've been very fortunate to attend many right across Wales. The last one I think I attended was in Llangollen in Ken Skates's constituency, but I know we have ensured again that funding is spread out right across Wales.
May I also thank the Cabinet Secretary for her statement and note, with thanks to everyone, that the industry has been successful during the past year and that progress is still being made towards the target in the food and drink plan?
I would like to start by asking the Cabinet Secretary where is she now, in considering exiting the European Union, on branding Welsh foods, specifically from the point of view of the source of food, animal welfare and environmental standards. The statement mentioned PGI specifically and we know how successful that has been in developing the export of lamb since that status was granted. I’m sure she would agree that it’s important to retain that status, but it’s also important that Welsh food is recognised as Welsh food as we exit the European Union, rather than it being draped in the union jack or marked as from somewhere ambiguous called Britain. Retaining that Welsh brand is very important, so what specifically is she doing in that regard? Specifically, although she says she’s having negotiations with the supermarkets, is she discussing this very point with the supermarkets, that, post Brexit, Welsh branding will not just remain but that supermarkets should embrace that and promote it?
Although there are successes such as the events referred to by the Cabinet Secretary, I am one of those people who regrets the fact that we have lost the specific True Taste awards or something similar—awards that recognised Welsh food and celebrated it and was a means of spreading best practice. I’d also ask whether the Cabinet Secretary has any intention of reconsidering that aspect of marketing and branding, again in the face of the challenges currently facing us.
The Cabinet Secretary specifically mentioned Project Helix in the statement. I understand that this is a scheme for innovation, and I would appreciate it if you could give us an example of the kind of event or the kind of innovation that's being promoted and supported by that particular programme. It's over £20 million, and I'd like to see how that's being spent.
If I could just bring a few issues together, there's additional funding for Hybu Cig Cymru, and there's the fact that the final budget will include a fund to respond to Brexit. I just wanted to understand whether the Cabinet Secretary has sufficient resources now to deal with Brexit and to deal with the challenges emerging from that and to help businesses, specifically those businesses that are exporting, to deal with interest rates, which are changeable, and possibilities in terms of problems in leaving the customs union. Is she confident that sufficient resources have been allocated in that regard? What specifically is she asking Hybu Cig Cymru to do now? Hybu Cig Cymru does have very important functions in promoting the whole food sector, including lamb from the Welsh uplands and the smaller lambs particularly.
I just want to finish with a question on school milk, because the Cabinet Secretary will have seen that some are questioning the continuation of the school milk scheme. It's a good way of getting schoolchildren familiar with the best of Welsh produce, and it's healthy and nutritious too. It's been supported by European funding and Welsh Government funding, but as we exit the European Union we need to ask where that support will come from in the future and whether the Government will continue to support the school milk programme. I hope that she will be able to give us an assurance that that will remain for the future, whatever decisions are taken as we leave the European Union.
I thank Simon Thomas for his list of questions and for welcoming the significant progress that we've made. I think you raise a very important point about team Wales, brand Wales and ensuring that people understand where the food is coming from. Certainly, I'm having discussions around labelling. You'll be aware that, even in a product, you could have some imported ingredients also, so I think it is very important that labelling is very clear and that people understand what they did. I saw a really disturbing example at one of the summer fairs last year when a lady thought she'd bought bacon that was Welsh, but it actually wasn't. You know, it had the dragon, but underneath it said that part of it wasn't all from Wales, and she was incredibly annoyed about it and came up to me and told me of her annoyance. So, I think it is vital that we get it right. And maybe that's one of the opportunities that we can have coming out of Europe.
You spoke about protected food names, and I mentioned in my opening remarks that the PFN family is growing rapidly. I've been very pleased that even the ones that were in the pipeline—the EU are treating them just as they would have done if we weren't exiting the EU, so I think it's very good. They're great selling points. Certainly producers that I've spoken to think it's an advantage and a very unique selling point. Again, I think it's very important that, after we exit the EU, we aim to work with the Department for Environment, Food and Rural Affairs to ensure the EU honour any schemes that are in the pipeline to their completion. Also, companies and food producers who have PFN at the moment, I think they want to retain it. Certainly, there are examples of countries outside the EU having registered products, so I don't see that that's necessarily a barrier. So, I think there is a strong precedent to negotiate our continued part in the scheme, and those are discussions that are ongoing.
You too mentioned about supermarkets ensuring that they continue to have Welsh produce. One big success, I think, has been Asda selling Welsh lamb. Again, they piloted it in a few supermarkets, but they are looking to increase that number, and I think that will be, obviously, very beneficial for Welsh lamb.
BlasCymru certainly was very successful. I know a few people have said to me that they weren't happy that the True Taste awards went. I have to say that most of the companies that I talk to really like the UK Great Taste awards, but it's something that I'm very happy to consider going forward—having our own awards.
You asked about Project Helix. That's delivered by the three food centres of excellence, as you know, the ZERO2FIVE food industry centre, which is based at Cardiff Met, the Food Centre Wales at Horeb in Ceredigion, and the Food Technology Centre, which is based at Coleg Menai up in Llangefni. What Helix's mission is is to stimulate that innovation and support new product development that benefits, obviously, all our food and drink companies, working together to meet their needs. So, that work is ongoing. It was launched at BlasCymru back in March and it had RDP funding of £21.2 million. What it's doing is it's working with companies that engage with over 400 food and drink businesses, and that figure is growing daily. I'd be very happy to write to the Member if he wants a specific example of what it's doing, but it is expected, over the lifetime of the scheme, to generate about £100 million for the Welsh economy and also safeguard thousands of jobs.
You mentioned the funding that was announced by the First Minister—the EU transition fund to help out our businesses. At our Brexit round-table meeting yesterday in Aberystwyth, it was certainly welcomed. Many of our companies are very concerned about making sure that they're sustainable and, certainly, the £50 million—and I'm looking at the Cabinet Secretary for Finance—that's the initial funding, and we are hoping there'll be more. You ask if I've got enough funding. Obviously you've never got enough funding, have you? But I'm sure the Cabinet Secretary for Finance has heard my plea. But, certainly, I think that that funding will really help companies prepare for Brexit, and they are telling us that that's what they want. So, we'll wait to see, obviously, at the end, if we require some more.
You asked about Hybu Cig Cymru, and I mentioned the extra funding that I announced for them. They're going to develop and deliver an enhanced export development programme for Welsh red meat. I think it's very important that we seek to increase sales. Export sales will obviously be a key component of that, and I mentioned that I told them to be as ambitious as possible in meeting that, and if they could exceed it, that would be, obviously, beneficial for everybody.
I can't see a time when we won't be bringing forward school milk, and, certainly, the farmers are telling me that it's very important that we continue to do that. I haven't had specific discussions, but I will make sure that I put that on the agenda.
I welcome the statement by the Cabinet Secretary. I think we should all welcome that, since November 2016, the industry sales turnover has increased from £6.1 billion to £6.9 billion, and I think we should all be really pleased that we stand on the threshold of the £7 billion target towards sustainable growth in the food and drink action plan, set in 2014, to be reached by 2020—and it looks as if were going to reach it early.
As the Cabinet Secretary is aware, the Climate Change, Environment and Rural Affairs Committee are carrying out an inquiry into food and drink in Wales at the moment. As part of it, I was talking to Welsh producers both at the Royal Welsh Show and the National Eisteddfod. I was intrigued by how easy companies told me it was to get the supermarkets to promote their Welsh products in all of Wales. Now, the difficulty, they said, was getting their products across the border. This included companies that were based in Flintshire who found it easier to get a supermarket to put it in their Welsh section in Swansea than they did to put it in Chester and have a Welsh section in Chester. Has this issue been raised with the Cabinet Secretary, and if not, can, perhaps, the Cabinet Secretary talk to some people who process food in Wales to see if that is a general problem?
As people know, I take a great interest in parts of Europe such as Aarhus. Aarhus has three major food processors: Arla, Lurpak and Castello. What would I find if I went to a supermarket in Denmark—what would be the Welsh equivalent? I think, if the answer's nothing, which I think it probably is, that's really our challenge, isn't it? One of the growth areas in food and drink has been microbreweries, such as West by Three and Boss in Swansea East, as well as small and growing independent breweries such as Tomos Watkin, also in Swansea East, and Tiny Rebel in Newport. What support is the Welsh Government giving to this industry, which really has been a growth industry in the Welsh economy over the last 10 years?
I thank Mike Hedges for those questions. I'm absolutely convinced that we will certainly hit that target of £7 billion when we have the 2017 data, and then we'll certainly have to look at where we set the next target. You specifically mentioned Chester, and, obviously, my constituency borders onto Cheshire—[Interruption.] I'm guessing that's why you mentioned it. I can't think of anybody who's actually raised that with me. I was quite disappointed to find, when I came into portfolio, that we didn't actually have the statistics for produce that we export to England—for want of a better word—and I think it's something that we need to look at, because we certainly need to be ensuring that we do see an increase in our Welsh food and drink produce going into England. I'm very well aware of the committee that Mike Hedges chairs, and of the review, and I very much look forward to receiving the report.FootnoteLink
The food and drink agenda is very broad, but it's absolutely of fundamental importance to Wales, and that's why I was so pleased to see it as a priority and become a foundation sector for our economy. Certainly, I've had many discussions with my colleague Ken Skates around food tourism, for instance. There are gaps there that we can address going forward. On microbreweries, certainly, I've been fortunate to visit a few myself. I've visited Tiny Rebel in Newport, and they told me—. It's a fantastic company started by a young couple, very innovative, and they certainly told me that they were not just grateful for the support they have—not just finance support, but the business advice from officials—and again, it's great to see them going from strength to strength.
I, too, welcome the statement by the Cabinet Secretary. It's a good news story, and I welcome the initiatives that the Government has taken to increase the scope of Welsh branding and also the scope for exports of our products. The Cabinet Secretary once described herself to me as a glass-half-full rather than a glass-half-empty person, and I'm glad to see, therefore, the note of optimism that suffuses the statement—after the ritual reference to Brexit uncertainty and so on—but nevertheless, looking forward to build on import opportunities that seek to substitute Welsh food and drink products, because we will have an opportunity to take advantage of the new freedoms that we'll have post Brexit.
In almost all sectors of agricultural produce in the UK—I haven't been able to find Welsh statistics and the Cabinet Secretary referred a moment ago to the need to refine the statistical base of our knowledge on Welsh production and sales—but in the UK as a whole, we are substantially in deficit on almost every area of agricultural production, and in some cases substantially so. Imports of dairy products and eggs, for example—. Sorry, I'd better put my glasses on. There's £2.8 million in imports compared with £1.2 million of exports. And in meat, again, it's £6.1 million—. No, sorry—. I haven't got my glasses on, so I can't read it all. But anyway, the upshot is that we export a lot less than we import. Therefore, this does give us the opportunity to take advantage of extra sales.
We're in the fortunate position where the world population is still rapidly growing, and those parts of the world—the countries that are most populous, like China and India—they're also becoming substantially more wealthy every year, so that means their tastes will go upmarket. So, the future for Welsh produce and exports must be in the high-end and quality sector, which is good news for us, because we produce top-quality food, and it's therefore just a question of marketing it in the global economy. This applies even to markets for lamb, where we know that we will have a significant problem if there isn't a sensible trade deal with the EU. And even though the bulk of our imports are from New Zealand, not from other parts of the world, we still have a trade deficit even in lamb. So, there are plenty of opportunities for us to make the case for greater exports. And when you consider that the value of exports, as stated here, was £436 million in 2016, in an economy worth about £60 billion, that's still a very small amount of money.
So, there must be huge scope, I think, for Welsh farmers and food producers and processors to take advantage of a growing world economy and a world economy that is becoming more and more prosperous. So, I think all parties in this house wish the Government well in the endeavours on which they're embarked, although the world is always uncertain, no matter what our trading arrangements, and certainly farmers have known, in the last 30 or 40 years, huge convulsions even inside the EU. I think there's every cause for optimism that our brand, the Welsh brand, is now recognised the world over, and even though there is a lot more to do, there is a substantial cause for optimism.
I thank the Member for those questions, and I'm still managing to retain my glass-half-full attitude in spite of all the uncertainties. You say it's a ritual that I mention Brexit uncertainties, but I'm sure, in your conversations, as you go around your region, the agricultural sector and food and drink producers must be telling you that, unless we get the gentlest of Brexits, there is a great deal of uncertainty.
The one thing about the food and drink industry that's hit me is that sense of energy and ambition that it has, and that is coupled with people's interest in our products, which has meant that we've been able to get to our target so much earlier than planned. And you are right, there are so many opportunities, and I find easy to sell, if you like—. Wherever I go, people are very interested in Welsh food. You mentioned lamb in particular, and we are well known for our lamb, there's no doubt about it, but I think, even just over the last year, people are starting to learn far more about our products.
You asked about exports and you referred to exports and how we could be doing a lot more, and I don't disagree with that. I think our attendance at places like Anuga, at Gulfood in Dubai, at SIAL in Paris, is vitally important. These are the world's largest food and drink events and we have supported a significant Welsh presence at these events to ensure that they get the opportunity to get that extra custom coming from overseas. Again, Hybu Cig Cymru—it's really important, as an organisation, that they are there, flying the flag for Welsh food and drink.
We know that the Welsh red meat industry is particularly reliant on export markets to be able to achieve those premium prices, so strong overseas demand uplifts the farm-gate prices and helps to balance supply and demand, and that then secures greater return for the supply chains.
There are opportunities, as we come out of Europe, of course, and it's vital that we get them, but at the moment we have unrestricted access to 500 million potential customers, and Brexit does put that at risk—you can't get away from that. So, that freedom from discriminatory tariff and non-tariff barriers means our producers are able to export to other EU countries much easier. But I'm doing all I an to support the companies to reach out to new markets, and obviously, in all my discussions, particularly with the UK Government, I can't reiterate often enough how a sensible trade deal is so important for our food and drink industry.
I want to welcome the report today. It's fairly clear that the Welsh Government is supporting the food and drink industry in every which way that it can by promoting the product, the manufacturing and supporting the staff. But I particularly want to ask you, Cabinet Secretary, whether we could do considerably more in promoting the Welsh food product and aligning it with reduced wastage in single-use plastic.
I think that there is a huge appetite—pun intended—for reduced waste in food production. And I think the moment is now and I think that we really need to seize it. There are initiatives happening to sell Wales as a country where we want to reduce waste, and one of those that are emerging is quite impressive, and that's in Aberporth, in Ceredigion, where they are fairly determined to reduce all plastic in their food products, because the single-use waste of plastic resides mostly within the food industry. I asked you, I think it was last week, a question on the opportunities that we might take, because Japan is no longer going to take the huge amount of waste—I think it was over 4,000 tonnes per year from Wales in recyclable material. So, here I see an opportunity where Wales could not only lead the way, as it has in recycling, but also in taking that as an opportunity to link that with, as I've said, the real move towards reducing single-use plastic within the food industry. I think that it would be hugely advantageous for everybody if you could, somehow, when you're giving funds to promote food production, also, at the same time, offer some incentives to promote reduced packaging going forward. Because we don't export everything that we produce; we consume considerable amounts here in Wales. I really do feel that this is an opportunity that we ought to take here and now.
I think, when we read about—I'm sure people have here—the 'ditch the straw' campaign, which is about ditching plastic straws—. That was started and originated by a nine-year-old boy from the United States taking that forward. I think we could all do very well to follow that example.
Finally, I think that it would be advantageous if you could use any influence whatsoever on supermarkets, where they're selling Welsh produce, not to put out alongside the fresh produce single-use plastic bags, but maybe to think about offering paper bags that people could put that fresh produce in, if they feel they have to, so, therefore, immediately helping to put those two things alongside each other.
I thank Joyce Watson for her very pertinent questions around the use of plastic and packaging. I think you're right, the time is now. I think people are really interested in this, and, obviously, with my colleague Hannah Blythyn, the Minister for Environment, we will be bringing forward the waste strategy for Wales, looking at food waste reduction as well, because I think that's also—. At the moment, I don't think people realise the amount of food that they throw out, and I think we've got an opportunity there to reduce the amount of food that we do waste. I think we have to. People are struggling financially, there are lots of opportunities to both minimise and prevent waste and save money.
Work has begun to look at how food packaging waste can be reduced, and we do know that plastic, in particular, is a major problem. I think we need to have that discussion with supermarkets—I know exactly what you mean about the single-use plastic bags that are alongside produce—to try and reduce the numbers that they use. The plastic straws initiative is so simple, but it's so important. When I was out in Dubai last year at Gulfood, I visited a factory that was making plastic straws. It was horrific to see the number that was coming out, and it was just incredible. So, just small things like changing from plastic to paper—because we know people want to use straws—could save so much.
So, as I say, this is a piece of work that will be taken forward by the Minister for Environment, which I will obviously support her with. I'm very happy to have conversations with her to try and reduce food waste as well, because I think it's really important that we do both, side by side.
Minister, following on from Joyce Watson's question to you earlier, will the Project Helix be used to provide small and medium-sized food manufacturers with the wherewithal to change some of their processes? Because most of the examples people have talked about so far have been done by the likes of Coca-Cola, Waitrose, Wetherspoon's, Iceland, McDonald's—very large companies with the wherewithal to change quite quickly some of their processes and arrangements for packaging. I do agree—we could market Wales as very eco-friendly in terms of its food and drink products, but I think some in the SME sector will need help, so a key area for Project Helix, I would say.
I think that's a very good suggestion, and I don't see why they couldn't. I mentioned before that their mission is to stimulate innovation and support new project developments that would benefit our food and drink companies, so I don't see why that couldn't be part of it. We've led the way in recycling; why can't we lead the way in doing that? It's particularly for SMEs, so one of the things that they're doing is responding, for instance, to technical inquiries, so I think this could fit in perfectly.
Of course, the biggest wake-up call on plastics is the plastic we now find in our fish as a result of the pollution of the seas.
I'm very pleased that you mentioned that food is about people, their health and well-being, and it's not about adulterated chicken being washed with chlorine or artificially fattened pigs and cows plumped up so that their backs break.
I absolutely applaud the food and fun holiday schemes to combat malnutrition in children, and I look forward to more details on your obesity strategy. The Food for Life certification offered by the Soil Association is particularly relevant to the food we serve in our schools. They need local suppliers of food to enable that to work, so when we're investing in skills, we need to know where in Wales you can do horticulture courses, because we have got plenty of meat—we're well endowed in that—and in dairy and cheeses, but we need to vary our diet in the interests of our health and well-being. Where in Wales can you buy Welsh leeks—that symbol of our nation? You may not be able to answer that today, but I'd be really interested to know the answer.
Well, I can certainly say that Morrisons sell them, because as part of the BlasCymru—. From Pembrokeshire, Puffin Produce—they sell Welsh leeks, and I certainly know that one of the supermarkets that take them is Morrisons. But I think you're right, it is important that people know where they can access horticultural skills training, and certainly I know—. Actually, in the Minister for Environment's constituency, there's a college there that provides it. So, it is about getting that balance. But, again, I have seen an increase in people who do want to take up horticulture, certainly in my own constituency, so I do think those skills have to be there, and part of the skills conference that we're having and the discussions with companies is to make sure every skill that they need like that is available.
Thank you very much, Cabinet Secretary.