Cheese (Losses) (Hansard, 14 February 1955)

§ 26 and 37. Mr. Dodds
asked the Minister of Food (1) why, during a period when Cheshire cheeses were difficult to obtain by the public, over 2 million lb. were allowed by his Department in 10 months to become unfit for human consumption; and what was the loss to his Department in disposing of the cheeses at 1d. per lb.; and
(2) where the 900 tons of Cheshire cheese which had to be disposed of as unsuitable for human consumption were stored and for how long; and what were the storage charges.

Dr. Hill
Until final decontrol on 30th September, 1954,the Ministry had to buy all the cheese made regardless of the chances of selling it. As part of this an all-time record of 28,000 tons of Cheshire cheese had to be bought. Despite price cutting, we just could not sell it all. Nine hundred tons of it—half of one per cent. of the total cheese we had bought—went bad. In good condition this cheese would have sold between 1s. 7d. and 1s. 2d. per lb.: being unfit for human consumption, it realised about 1d. per lb. The cheese was stored in a large number of cheese factors' premises and public stores. The period of storage varied and charges are estimated at £1,500.

§ Mr. Dodds
Is not the hon. Gentleman aware that people in the cheese trade over a wide area are astonished to find that this cheese was available? Is not it also a fact that the hon. Gentleman's Department was warned by the experts that to keep it for more than eight weeks would make it unsuitable for human consumption? Who has got into trouble for 20 this tremendous blunder when Cheshire cheese was wanted all over the country?

Dr. Hill
At the time in question this type of cheese was freely available throughout the country.

§ Mr. Lewis
How much?

Dr. Hill
Between 1s. 2d. and 1s. 7d. a lb. That was the price at which it was being sold by the Ministry. As for the allegation of mismanagement, the area officer for this area is a very responsible and skilled cheese expert. In fact, he came to us from the Co-op.

§ Mr. Mitchison
If cheese decomposes in the process of being decontrolled, what happens to a decomposing Ministry?

Dr. Hill
The moral that can be drawn in that context is that the Government cannot act in time of plenty as a monopoly trader in food, which is a good reason for ending Government trading.

§ 36. Mr. Dodds
To ask the Minister of Food what quantity of cheese was stored on behalf of his Department with Kent farmers in 1954;and at what rate the farmers were paid for storage.

§ Mr. Dodds
On a point of order. I should like to ask your guidance, Mr. Speaker. I asked two Questions earlier in different parts of the Order Paper. The Minister, when he replied, missed out one of the most important details, and you, Sir, would not allow me to ask a second supplementary question. Can the Minister, when answering Question No. 36,state how much the taxpayer has lost on the 2 million lb. of cheese that went bad?

§ Mr. Speaker
That is not quite in order.

Dr. Hill
33,701 tons. The rate paid for storage was 3s. 11d. per ton per week.

§ Mr. Dodds
Is the hon. Gentleman aware that some farmers were storing 4,000 crates of cheese, and were getting £116 a week, and that, over and above that, were paid a rate for turning the cheese? Is he also aware that the farm workers did the turning and got nothing extra for it, and that many people feel that the farmers have done very well out of it, but that the consumer comes out very badly?

Dr. Hill
The rates charged were those agreed with the National Cold Stores Committee. I can make no comment on what happened to the payments subsequently.