The farming industry was in a prime position to pull Britain out of the recession, an agriculture expert claimed yesterday.

National Farmer’s Union (NFU) leader Peter Kendall told delegates at the organisation’s annual conference how the income from farming rose 36 per cent last year.

Speaking at the Hilton Metropole Hotel, in Birmingham, he addressed more than 800 farmers at the two-day event.

Environment secretary Hilary Benn also spoke and took questions from concerned farmers.

During his opening speech Mr Kendall said: “Farming is a good business and is good for business. I want 2009 to be the year in which farming is put back into the heart of the British economy, not just neglected on the margins. It is one of the few industries with reasonable prospects in this next year. And what is more, with the right agenda, farming could be even better placed to help the country recover.”

He added: “Last year Britain’s GDP fell 1.8 per cent. By contrast, total income from farming rose 36 per cent and our contribution to GDP increased 38 per cent. Let’s not be ashamed of this. It is undoubtedly good news for us as farmers.”

He outlined the challenges which farmers face.

“The challenge for the future, with all the global dynamics now such as population, dietary changes, impacts of climate change, water scarcity, the challenge of renewables from the land is we must produce more but impact less,” he added.

He warned against bureaucracy, saying there was a danger of using “a sledge-hammer to crack a nut”, if measures like electronic tagging of sheep were introduced, or set-aside – the practice of paying farmers to leave some of their land untouched – was brought back.

Mr Kendall raised concerns over the spread of bovine tuberculosis.

“The figures reveal a disease out of control. Last year we predicted 40,000 cows would be slaughtered because of TB; the final figures aren’t yet out, but sadly it looks like we will come very close. I’ve heard insensitive government spokesmen say the number of cattle that go down with the disease are only a small percentage of total output,” Mr Kendall added. “That really does miss the point. The human misery is immeasurable and the indirect effects are devastating, leading many beef and dairy farmers to go out of production in hotspot areas, which happen to be some of the best suited land in Europe for raising cattle.”

And he said of the Government’s decision to end badger culling, the animal thought responsible for the spread of TB: “I can’t begin to tell you how bitterly disappointed we are by the secretary of state’s decision on badger culling in England last summer. Bluntly, I have to tell you, you got it wrong. And we will seek to overturn it, in any way we can.

“We remain convinced eradication will mean tackling all sources of the disease. And we will pursue this relentlessly.”

But Mr Benn said the Government would continue to look at a plan to combat the problem using vaccinations.

“We believe an injectable vaccine will be available next year, subject to the scientists’ development. I understand a normal vaccine, under development, will take four years. We have put £20million to finding a vaccine.”

Dairy farmer Michael Oakes, 43, running Beacon Farm in Bromsgrove, Worcestershire, for 20 years, said he remained sceptical.

“I’ve been coming to this conference for eight years and I am quite sceptical about what politicians say.” But he shared Mr Kendall’s optimistic view of the industry.

“Farming is recession proof because people still need to eat. We are in an industry with lots of opportunities, although it is also quite a challenging one.

“We have the problems of TB, and it seems Mr Benn just gives us nice words on it. We want it eradicated. I have eight healthy badger sets living on my farm and I am lucky. But just two miles away, there are farmers losing money because of problems with TB.”