The deputy first minister - who has been given responsibilities for rural development and raising the profile of Wales abroad - will be probed by AMs over his suitability for the new portfolio.

Carwyn Jones was appointed in July 2000

Critics have suggested that given his lack of experience in agricultural matters - and the fact that his South Wales East constituency is largely urban - he may not be the best person for the job.

His debut comes as union leaders warn that thousands of farmers are considering leaving the industry behind.

The National Farmers' Union (NFU) has said the government must act now - or low incomes, job losses, and poor prices, will lead to a new crisis in agriculture.

Mr German's appointment was announced by First Minister Rhodri Morgan on Monday.

The farming portfolio - held for the last two years by Carwyn Jones, who served through the foot-and-mouth crisis - has been beefed up.

Duties

The new title is Minister for Rural Development - which has the added responsibility of economic issues relating to agriculture.

Mr German also has the additional duty of looking after the assembly's international relations, and will chair a sub-committee looking after the Wales and the world brief previously handled by the first minister.

This will involve looking after the assembly's relationship with Europe, growth of the European Union, and the introduction of the Euro.

The Farmers' Union of Wales (FUW) pledged to work closely with Mr German and met with him within hours of the appointment for talks over the continuing farms crisis.

Rhodri Morgan has offered a key role

FUW President Bob Parry said: "Mike German is already well-known to us at the union because of his general support for agriculture.

"I believe that his interest in agricultural matters will give him a head start in dealing with the highly complex and contentious issues that are of concern to our members."

Farming unions have also paid tribute to the former Rural Affairs Minister Carwyn Jones, who has lost half of his portfolio but remains the assembly's business organiser.

Rhodri Morgan reinstated Mr German as his right-hand man last week, after police inquiries into his previous business dealings were dropped.

"Witch-hunt"

There had been allegations that he misused a corporate credit card while he was employed by the examinations board, the Welsh Joint Education Committee.

The teacher-turned-politician had always denied any wrong-doing. All along, he described the campaign as a "witch hunt" and claimed it was "politically motivated".

On Thursday, the Crown Prosecution Service had decided that after nearly a year of investigation by South Wales Police that there was not enough evidence to bring Mr German to trial.

Support from farm union leader Bob Parry

Mr German said: "I am absolutely delighted once and for all that this is behind me. The past year has been the most difficult of my life."

He stepped down as deputy first minister and economic development minister 11 months ago when the inquiry began, but was back in the cabinet within hours of the CPS's announcement.

Under the terms of the Labour-Lib Dem coalition, the Liberal Democrats are entitled to two of the Cabinet portfolios.