HC Deb 06 March 1947 vol 434 cc652-8
Captain Crookshank (by Private Notice)

asked the Minister of Agriculture in view of the need for farmers to complete their spring cropping arrangements, if he is in a position to say whether he can yet announce production programmes and prices for livestock for the forthcoming year, and for the 1948 crops.

The Minister of Agriculture (Mr. Thomas Williams)

Yes, Sir. Copies of a full statement which I propose to circulate in the OFFICIAL REPORT have been made available in the Vote Office. Following are the salient points.

The Government's policy in broad terms, both to save foreign exchange and for good farming, is to switch our production, as rapidly as the cereals position permits, from the production of crops for direct human consumption to the production of livestock and livestock products, especially pigs and poultry. Acreage targets for the principal crops have been set for the harvests of 1947 and 1948. It is impracticable to set precise targets for the livestock group of commodities, with the possible exception of milk. The general objective, however, will be to increase the output of livestock products to the maximum extent consistent with supplies of feedingstuffs and breeding capacity on dietary, foreign exchange, and good farming grounds.

As regards prices the Agricultural Departments have reviewed, in consultation with the Farmers' Unions, the general economic position and prospects of agriculture in the United Kingdom. The Government have considered the results of this review and the views of the Milk Marketing Boards on milk prices, and in the light of the imperative need to maintain a high level of production and to steer production in the direction that I have already indicated, have fixed the prices to be guaranteed for the principal crops from the harvest of 1948 and for livestock and livestock products in the production year commencing 1st April next. In pursuance of the undertaking given to the Farmers' Unions in August last, prices for crops of the harvest of the current year have also come under review and certain adjustments have been made designed to encourage farmers to achieve the targets set, notwithstanding the delays in sowings that will be inevitable owing to the abnormally unfavourable weather of the present winter. In particular the Government is anxious that the maximum practicable acreage should be sown to spring wheat during the coming weeks. Details of the various price changes are given in the statement to which I have referred.

I am satisfied that the prices now fixed accord with the general objective of the Government's agricultural policy as set out in Clause 1 of the Agriculture Bill, now before Parliament, namely to en courage the production of the food of which the nation stands in such need, and at the same time affording proper remuneration for farmers and their workers and an adequate return on the capital invested in the industry. I have been assured by the representatives of the Farmers' Unions who took part in the price review, that they will commend the new prices to their members and give energetic support to the production programme laid before them.

Finally, I would stress that as in the worst days of the war, the agricultural industry is again being given a great opportunity for service to the nation. In the next few years the two great needs of this country will be food and fuel, and I call upon every member of the agricultural community, whether farmer or worker, to play his full part in providing the food which is so essential to the well being of the nation.

Captain Crookshank

I am sure that everybody will echo the final words of the right hon. Gentleman's statement. Of course we shall have to study these figures before making any comments, but may I ask him what increased production he anticipates as a result of these changes?

Mr. Williams

The right hon. and gallant Gentleman will realise that the size of our production depends upon so many factors—labour, machinery, weather, etc. —that it would be quite impossible to indicate in advance what the result is likely to be.

Mr. Snadden

Is it the intention of the Government to serve directions upon producers this year?

Mr. Williams

Directions have already been served for the 1947 crops.

Mr. Spence

In the policy for the encouragement of the production of live stock, is the right hon. Gentleman considering the home production of animal feeding stuffs such as linseed?

Mr. Williams

Yes, Sir. If the hon. Member will wait until he sees a copy of the full statement, he will find that special inducements will be provided for the growing of linseed.

Mr. Manningham-Buller

Is the Minister confident that to achieve the harvesting of the crops necessary to attain the production, there will be sufficient labour available in all parts of the country?

Mr. Williams

I am hopeful that sufficient labour will be available for this harvest.

Mr. Wilfrid Roberts

Does the right hon. Gentleman anticipate an increase in pig and poultry production under this new price schedule?

Colonel Gomme-Duncan

May I ask the right hon. Gentleman whether the Secretary of State for Scotland is entirely associated with this statement which he has made?

Mr. Williams

Entirely.

Colonel Gomme-Duncan

Will consideration be given to the production of high grade meat, cattle, etc., and an advantage given to those who produce high grade meat, and not merely the ordinary level which is at present maintained?

Mr. Williams

Yes, Sir. The hon. and gallant Member will be aware that during the war quantity was the primary consideration. I hope that the time is not far distant when we shall be able to concentrate on quality.

Earl Winterton

May I, on behalf of a large number of poultry keepers, big and small, in the South of England, and, in particular, in my constituency, ask the right hon. Gentleman if he can guarantee that there will be a sufficiency of feeding stuffs, either home grown or from overseas, in view of the fact that without such a sufficiency, a guaranteed price for poultry products is of no avail?

Mr. Williams

It would be folly on my part to guarantee anything which has to be brought from other countries. The noble Lord is aware that no absolute guarantees could be given, but I am as hopeful as he is that feeding stuffs will be available.

Mr. Hurd

As we all desire to get more eggs and bacon and more extra feeding stuffs, will the Minister say that if farmers grow more wheat and barley for the 1947 harvest, they can keep the additional production for feeding livestock?

Mr. Williams

No, Sir, but the hon. Member will see, from the longer statement, that the national organisations have been informed that in 1948 it will be permissible for farmers to consume, on the farms, some of their home-grown feeding stuffs.

Mr. Hurd

I asked about the 1947 harvest.

Lieut.-Colonel Elliot

As part of the programme, will the Minister make the utmost efforts to see that supplies of feeding stuffs, particularly hay, are got up to the hill farmers, where they are facing disaster, which may make it impossible to maintain existing production, let alone increase it?

Mr. Williams

Perhaps the right hon. and gallant Gentleman is not aware that we have been busy trying to draw upon surplus areas to supply deficit areas ever since this hard weather came upon us.

Following is the statement:

The Government have had under consideration the programme of agricultural production in this country. As indicated in the recently published Economic Survey for 1947, there is an urgent need for an all round expansion in national production to which the agricultural industry can make an important contribution both in respect of food supplies and of foreign exchange. The Survey states that the Government's policy in broad terms, both to save foreign exchange and for good farming, is to switch our production, as rapidly as the cereals position permits, from the production of crops for direct human consumption to the production of live stock and livestock products, expecially pigs and poultry. Both this year and in 1948 it will, however, still be necessary to have a large production of grain, potatoes and sugar beet owing to the limitations upon imports imposed by the world shortage of cereals and sugar.

For the harvests of 1947 and.1948 acreage targets for the principal crops have been set. They are indicated below and unless emergency conditions of the kind contemplated in Clause 92 of the Agriculture Bill arise, it is not the intention of the Government to seek the authority of Parliament for securing the targets of 1948 by special directions. In the three succeeding years some further reduction in the target acreages of crops for direct human consumption should be possible, and although, as stated in my reply to the hon. Member for Bedford (Mr. Skeffington-Lodge) on 17th February, there is good ground to expect a substantial increase in imports of cereal feedingstuffs from 1948 onwards, it will nevertheless remain essential to plan for a higher standard of self-sufficiency than was the practice before the war, and therefore to maintain a comparatively high level of production of fodder crops, including oats and barley. Supplies of protein feeding-stuffs are, moreover, likely to remain short for some years and the Government considers that renewed efforts should be made to encourage the growing of crops with a high protein content. For this reason and as a contribution towards our requirements of essential vegetable oil, it has been decided that special incentives should be given for the development of linseed production in this country. A separate announcement is being made on this subject and on the related question of the conservation for winter feeding of the produce of the increased area of grass which is expected to be put down during the next three or four years.

While the expansion of livestock production is expected to be accompanied by an increased area of temporary leys, the need for the highest level of self-sufficiency in feedingstuffs, to which I have referred, will make it desirable to maintain a substantially larger tillage acreage than before the war, and the Government would deprecate the reduction of tillage within the next four years below a point approximately half-way between the wartime peak and the prewar tillage area and farmers should make their plans accordingly.

It is impracticable to set precise targets for the livestock group of commodities with the possible exception of milk, and in the immediate future the rebuilding of our flocks and herds will necessarily limit the increase in the output of meat that would otherwise be achieved. The general objective, however, will be to increase the output of livestock products to the maximum extent consistent with supplies of feedingstuffs and breeding capacity on dietary, foreign exchange, and good farming grounds. There has already been a gratifying and praiseworthy increase in milk production, and with the prospect of more and better quality feeding-stuffs milk producers are urged to aim at a continued expansion of not less than 50 million gallons per year. From 1948–49 onwards there should also be a marked increase in the output of eggs and pigmeat, but revival of beef and mutton production must necessarily be somewhat slower. Breeders of all classes of livestock are therefore urged to make their plans in the light of the urgent need for increased supplies of livestock products of all kinds at the earliest practicable date. The prices that have now been fixed for livestock products for the forthcoming 12 months reflect the intention of the Government to provide every incentive to maximum output.

In accordance with the established procedure as modified by the announcement that I made in this House on 21st November last, the Agricultural Departments of England and Wales, Scotland, and Northern Ireland have reviewed in consultation with the Farmers' Unions of those countries the general economic position and prospects of agriculture in the United Kingdom. The Government have considered the results of this review and the views of the Milk Marketing Boards on milk prices, and in the light of the imperative need to maintain a high level of production and to steer production in the direction that I have already indicated, have fixed the prices to be guaranteed for the principal crops from the harvest of 1948 and for livestock and livestock products in the production year commencing 1st April next. In pursuance of the undertaking given to the Farmers' Unions in August last, prices for crops of the harvest of the current year have also come under review and certain adjustments have been made designed to encourage farmers to achieve the targets already set, notwithstanding the delays in sowings that will be inevitable owing to the abnormally unfavourable weather of the present winter. In particular the Government is anxious that the maximum practicable acreage should be sown to spring wheat during the coming weeks. Details of the various price changes will be circulated in the Official Report but in view of the special importance which the Government attaches to an early revival of pig and poultry production, I would mention that the price of fat pigs will be increased by 2S. per score and of eggs by 1d. per dozen during the six months from 1st April next, and by 2d. per dozen in the period October, 1947, to March, 1948.

A special feature of the adjustment of crop prices is that the acreage payments for wheat and rye will disappear in respect of the 1948 crops and be merged in the market prices for the 1947 and 1948 cereal crops. Similarly, as it will be possible to reduce somewhat the target acreage of potatoes in 1948 and relax the pressure to grow potatoes on marginal land, the acreage payment will then be reduced from £10 to £3 per acre in Great Britain, and the market price correspondingly increased. There will be an appropriate adjustment in Northern Ireland.

I am satisfied that the prices now fixed accord with the general objective of the Government's agricultural policy, as set out in Clause 1 of the Agriculture Bill, now before Parliament, namely, to encourage the production of the food of which the nation stands in such need, and at the same time affording proper remuneration for farmers and their workers and an adequate return on the capital invested in the industry. I have been assured by the representatives of the Farmers' Unions who took part in the price review, that they will commend the new prices to their members and give energetic support to the production programme laid before them. In giving me this assurance the Unions emphasised that the actual achievement of the targets set, particularly those for crops in 1948, will depend upon the labour supply available, and on this point I would assure the House that the Government will take all practicable steps to assist the industry in securing the additional labour needed and to encourage the development of the supply of machinery and other aids to economy in manpower.

Finally, I would stress that as in the worst days of the war the agricultural industry is again being given a great opportunity for service to the nation. In the next few years the two great needs of this country will be food and fuel, and I call upon every member of the agricultural community, whether farmer or worker, to play his full part in providing the food which is so essential to the well-being of the nation.