§ 35. Mr. Doddsasked the Minister of Food how much frozen meat held in Government account is in cold storage at home and on our behalf in other countries; what action is being taken to release shipping serving as floating 20 warehouses; and what is the total cost per week for meat storage at the latest available date.
Dr. HillOn 18th March, about 68,000 tons in United Kingdom stores, 5,000 tons in a refrigerated ship, and 19,000 tons in Continental stores. The refrigerated ship will be released on 24th May. The total weekly cost of Ministry storage is about £47,000.
§ Mr. DoddsDoes not the hon. Gentleman appreciate that the cost of frozen meat in the shops is much too high? As the cost involved in his policy of paying £2,000 or £3,000 a week for ships is added to the cost of meat, housewives will, once again, have a very bad deal because of the muddle in the Ministry of Food.
Dr. HillThe hon. Gentleman will realise that on 28th February there was a substantial cut in the price at which the Ministry sold its frozen meat and that the price is running at about half that for home-killed meat in the wholesale market. I appreciate that it is necessary to make available the present quantities of imported meat at reasonable retail prices.
§ 38. Mr. Collinsasked the Minister of Food whether, in view of the inconvenience caused to Dominion producers by the suspension of meat shipments and in order to reduce accumulated stocks in the United Kingdom, he will make a further reduction in the price charged by his Department for imported meat, and so benefit the housewives and reduce the cost of living.
§ Mr. CollinsIf the Minister cannot accept this suggestion, will he say what are his Department's proposals for relieving the present congestion, as it may well mean that if the trouble continues a shortage of supplies will eventually arise from the situation?
Dr. HillI have already informed the hon. Member for Dartford (Mr. Dodds) what has been done. We shall, of course, watch the situation and make such price changes as seem desirable.
§ 39. Mr. Collinsasked the Minister of Food how far the recent reduction by his 21 Department in the price charged to merchants for imported meat involves selling at a loss; and what is the extent of the loss.
§ 51. Mr. Willeyasked the Minister of Food the current rate of loss, expressed as a percentage, on the realisation of his Department's stocks of imported meat.
Dr. HillIt is not the practice to disclose the day-by-day results of the Department's trading operations.
§ Mr. CollinsIf the Minister cannot disclose the day-to-day results, can he at least say whether a loss is being made or not so that we shall then have a better opportunity of judging the wisdom or otherwise of his Department's action?
Dr. HillThe hon. Member will realise, from what I said earlier, that the stocks are not being sold at a profit.
§ Mr. WilleyDoes the Parliamentary Secretary realise that only last month his right hon. Friend said that these stocks were being sold at a profit? On the Supplementary Estimates he said that he thought that there would be a profit on the sale of imported meat. What has happened in the meantime to bring about the change?
Dr. HillI have already referred to the cut in prices made on 28th February. That is the relevant fact.
§ Mr. Langford-HoltDo not the answers to these questions show that the sooner my hon. Friend speeds up his policy of getting out of the business altogether the better it will be?
§ 40. Lieut.-Colonel Liptonasked the Minister of Food whether he will control the excessive profit margin in the present retail price of imported meat.
Dr. HillNo, Sir. My Department has, through the retail butchers' associations, circulated a letter drawing attention to the disadvantages of averaging out the prices of home-killed and imported meat. It now remains with the butchers to see that the public is enabled to take full advantage of the ample supplies of low-priced frozen meat now available.
§ Lieut.-Colonel LiptonWhat has the Ministry done to follow up this request to the butchers? Is the Parliamentary Secretary not aware that the profit on the import of meat is far higher than it should be, so that the butchers can reduce prices of fresh meat? Does he not agree that the only effect of this hampering of the law of supply and demand, which is one of the sacred cows of the Conservative Party, is to intensify the demand for fresh meat?
Dr. HillThere has been some result from the letter which has already been issued, but I agree with the hon. and gallant Gentleman that it is necessary for butchers to drop this averaging out procedure in order that the public may purchase frozen meat at a reasonable price.
§ 43. Mr. K. Thompsonasked the Minister of Food how the general level of wholesale prices for home-killed and imported meat, respectively, has moved since decontrol.
Dr. HillWholesale prices vary in different markets. But for the week ending 19th March, Smithfield prices for home-killed beef and lamb were from 10 to 35 per cent. higher than under control. Home-killed pork was from 35 per cent. lower to 10 per cent. higher. Ministry imported meat was about 20 per cent. lower on average than under control. Privately imported new season's frozen. meat was on average also below control prices.
§ Mr. ThompsonCan my hon. Friend inform the House whether he is able to rely on adequate supplies of this meat until the flush season for home-killed meat comes along?
Dr. HillIn the aggregate, there is an ample supply of meat to maintain the present level of consumption, but to some extent it does involve a switch to frozen beef in the early months of the year.
§ Lieut.-Colonel LiptonWill the Parliamentary Secretary send another letter to the meat trade pointing out that in the opinion of the Ministry the retail price of imported meat is far higher than it should be?