Caroline Spelman: British farming is a success story, and together we can make it stay that way

Farming has so far bucked the downward trend of many industries. Agriculture was the one sector of our economy which didn't shrink during the last two years. Incomes are up 15 per cent and so is demand for, and the value of, commercial farmland – prices here have roughly doubled over the past 10 years.

But in the difficult economic times ahead of us, there are a whole new set of challenges facing farming. Our overall priority must clearly be to deal with our unprecedented levels of debt and drive down the budget deficit. But we also need to grow and the Budget recognises the urgency of ensuring our economic recovery.

That's why the Prime Minister's stated intention to make this the greenest Government ever is good news for so many of our industries from farming to manufacturers.

We need to accelerate the pace at which we move to a low-carbon economy, changing the shape of industry, growth and jobs of the future.

The recent Budget offers real help to rural communities. The lowest paid – too often found in rural areas – will be helped by the tax changes that will lift over 750,000 people out of paying tax altogether. The decision not to further raise fuel duty has also been welcomed by the industry.

Alongside these positive measures, we are pushing for faster delivery of the Single Payment Scheme, encouraging investment in rolling out high speed rural broadband and have recently announced a review of farming regulations.

We also need to grow our economy. The health of our natural environment is a crucial part of developing our low carbon greener economy, and food sustainability and security are only going to climb up the list of domestic priorities in the years ahead. Yorkshire farmers are very well placed to take advantage of these opportunities. Eastern parts of the region have some of the most fertile soils to be found anywhere in the country, and the emerging biofuels industry provides markets for crops such as willow and miscanthus.

The very landscape on which Yorkshire men and women farm brings

benefits too. With two national parks, areas of outstanding natural beauty and mile after glorious mile of heritage coast, millions of visitors pour into the area every year and provide valuable additional income to farms which offer accommodation and other attractions. If diversification is increasingly the name of the game for farming, then Yorkshire farmers already have a head start.

This area provides a vivid example of why we think farmers should be freed from unnecessary red tape and given the chance to prove they will do the right thing by their land.

That's why I'm so pleased that Richard McDonald, the NFU's Director General for over 13 years, agreed to head our task force to review farming regulation and look at non-regulatory solutions. After all, it's in farmers' interests to manage their assets sustainably.

They know that you can only get out of the land what you put in. I also want us to encourage people to buy British and buy local. With some of the highest animal welfare standards in Europe we have a lot to be proud of and driving down the carbon emissions involved in transporting food thousands of miles will benefit our environment.

We need to help educate consumers about where their food comes from and how their food choices can both help improve their health and support local economies.

Farming is not an easy option and the average age of farmers is edging up. So we need to ensure those still at school are encouraged to consider a farming career as well as equipping the farmers of the future with the skills to adapt to a changing climate and emerging technologies. The tireless work of the Yorkshire Agricultural Society in both these respects are great examples of what can be achieved here.

Yorkshire is well represented in terms of speciality food and products; from York ham to Yorkshire beef and – of course – probably the best rhubarb crop in the world. We already have 42 products which have specially protected status throughout Europe, with almost another 40 applications currently in the EU pipeline. Not bad going. But I think they are just the tip of the iceberg. There must be many, many other types of food and drink out there which qualify for this special recognition, and I'm encouraging more breeders and producers to get together, come forward and apply for this protected status.

We need to recognise what is unique about British farming and make the most of it – both economically and environmentally. Because we must grow our fragile economy, but grow it with lower environmental impact and greater resilience. For farming, I think this equation offers great opportunities. Taxpayers will increasingly be watching how their money is spent. Farmers can demonstrate how the subsidies they receive help protect the biodiversity and ecosystems we all enjoy. They can show too, how UK livestock rearing contributes to some of the best quality food and highest animal welfare standards in the world, reassuring consumers that when they buy British and local they buy best.

And the growing trend for the industry to use existing and emerging technologies to maximise yield and minimise impact, such as anaerobic digestion and precision agriculture, may benefit from the proposed Green Investment Bank.

British farming remains one of this country's strongest success

stories. I'm confident that by working together we can ensure it stays that way in the challenging years ahead.

Caroline Spelman MP is the Environment Secretary.