WENSLEYDALE could be ideally suited to bounce back from the impact of foot-and-mouth.

National livestock industry leaders at Hawes on Tuesday felt the community strength and spirit, tied in with the inspiring Wensleydale creamery, Hawes auction mart and other determined businesses, gave it an excellent springboard.

"We see a community which is defined geographically and trying as one to come up with answers to very big problems," said Mr Robert Forster, chief executive of the National Beef Association. "I would say some of the answers are quite close.

He was speaking at an event organised by Rejuvenate, the self-help foot-and-mouth group, at the Dales countryside museum, where 30 different organisations offered advice and help to farmers.

Mr Forster, and Mr John Thorley, secretary of the National Sheep Association, both said another great strength of the dale was the extensive farming systems and grass-fed cattle and sheep. It was the perfect combination which the new Department for Environment, Food and Rural Affairs should promote.

Mr Forster said the NBA would actually pick the systems used in Wensleydale as an example of what should be happening nationally. There was a large amount of scientific evidence showing grass fed beef not only tasted good but did people good.

Mr Forster intends to tell Mrs Margaret Beckett, Secretary of State at DEFRA, just that.

If the new department was serious about the environment and food it should back that traditional system and end the stranglehold of dealers and supermarkets, he said.

He welcomed plans for an abattoir in the Leyburn area and said locally produced meat should attract a premium if branded and sold correctly.

Mr Thorley described the creation of DEFRA as one of the most important events in agriculture since the 1947 Act, also introduced by a Labour government.

Mrs Beckett's initial statements about a joined up approach, a high quality of life and vibrant and sustainable rural communities could not be argued against.

"A vibrant and sustainable community would mean farming would find its place in that type of environment," said Mr Thorley.

He believed DEFRA could provide benefits. "Provided we get our act together it could take us forward in a very positive way."

Mr Thorley said mixed farming with cattle and sheep always had made sense and would make sense again.

Mr Mike Keeble, Rejuvenate member and co-ordinator of Cornerstone, which puts young dales people aged 18-35 with bright business ideas in touch with mentors, said it was vital the opportunity was seized to make a fresh start with a new approach to farming.

He believed his age group in farming had been "feather-bedded" and said: "We have got to get on to a fresh approach. This new department may just bring us to our senses. We have to take control of our own affairs. We must be radical."

Mr David Hartley, managing director of Wensleydale Dairy Products, said the disease had hit the dairy industry hard. On June 5, 852 milk producers in England and Wales had gone, and his own creamery had lost 20 producers.

"We have a massive problem facing the dairy industry," he said, "and I cannot feel we are seeing the light at the end of the tunnel. In this area, we might be beginning to see a little light but you only have to go to Settle or Northallerton and it is still very much a live issue."

The creamery had lost 3.7m litres of milk, but Zenith had stepped in with supplies and the two had worked well together.

Many farmers were undecided whether to return to milk production. However he thought all dairy companies now believed a price of 18ppl and less was unsustainable for producers. He believed prices would stay at about 20ppl.

The creamery might have to decide later whether to buy directly from farmers or build stronger relationships with other suppliers. It would wait and see how many producers would return and how much they would produce.

"As a dairy company we feel very confident about the future. There is a lot of heartache, but we will get through."

Mr Forster believed foot-and-mouth had claimed 5pc of the national cattle herd and believed 120,000 dairy cows and 100,000 suckler cows had gone. Another 140,000 cattle had entered, or were booked in to, the welfare livestock scheme.

He was, however, certain that farmers could re-stock without having to go abroad, although he did not think there would be much re-stocking this year.

The chief vet was said to be very aware that in 1967 a rush to buy from abroad brought disease into the country, including brucellosis.

"I think you are more likely to buy British," said Mr Forster. "When you get them they will have gone through a maze of veterinary screening. The animals will be whiter than white."