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£1m Funding Boost for Cardigan Dairy Farm

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A family-run Cardigan farming business has doubled the size of its organic dairy herd after agreeing a seven-figure funding package with the Agricultural Mortgage Corporation (AMC).

AMC, part of Lloyds Banking Group, has provided Jenkins & Rees CYF with a £1 million finance package to build and open a new dairy unit on its Treclyn site in Pembrokeshire, which includes housing for up to 300 additional cows and a state-of-the-art milking parlour.

The farm has already expanded its herd across its Treclyn and Trefere Fawr farms from 200 dairy cows to 400 thanks to the new facilities. Eight additional jobs have also been created as a result, two of these being full-time, and six part-time seasonal roles.

Jenkins & Rees CYF has worked with AMC since 2008, initially to purchase the land, homestead and buildings at Treclyn Farm. The business, which farms across 850 acres in total over both sites, focuses primarily on organic dairy production and supplies one of the UK’s leading dairy manufacturers.

The new dairy unit is managed by Owain Rees, son of co-owner Aled, who has just completed a three-year agricultural course.

Aled Rees, co-owner and manager of Jenkins & Rees CYF, said:

“We wouldn’t have been able to carry through any of our plans without the support of AMC. They helped us to buy the land and the farm, then the remaining acres, and now the dairy at Treclyn Farm. We’ve gone from strength to strength with their help.

“Our focus continues to be on growing the farm positively and the addition of this new dairy unit is a major step forward in that respect. Six generations of the Rees family have farmed in Treclyn and we made this investment to help make the business ready for Owain and the next generation following on.

“We have a good track record in the farm’s other disciplines and continue to produce a lot from forage to ensure our model remains sustainable.”

Martin Waite, regional agriculture manager at AMC, said:

“UK farms underpin the UK’s food and drink sector, which is worth £122 billion to the economy each year, so it’s vital they receive the support they need to build positively for the future.

“Aled and his family run an excellent business that takes exceptional care of its livestock and makes the most of the natural resources at its disposal.

“When you consider the business model they’ve developed and the local employment they contribute to, it’s clear that Jenkins & Rees CYF has become a leading example of how the agri-food sector can address the current headwinds it faces.”

AMC provided £470 million of borrowing to rural businesses in 2018.