§ 56. Mr. Willeyasked the Minister of Agriculture, Fisheries and Food the estimated cost to the Exchequer of the surplus potatoes destroyed or not used.
§ Mr. GodberMy right hon. Friend regrets that no reliable estimate can yet be made of the cost of disposing of potatoes not sold for human consumption.
§ Mr. WilleyCannot the Joint Parliamentary Secretary make an approximate estimate of the loss on these potatoes? Can he assure the House that every step is taken to avoid loss of the potatoes themselvs? Surely we can dispose of these potatoes in some way?
§ Mr. GodberIt would be unwise to speculate what the total figure will be, but I can give the hon. Gentleman an assurance that the Potato Marketing Board is doing what it can to dispose of these surplus potatoes. It is a very inelastic commodity and we cannot easily step up sales.
§ 57. Mr. Willeyasked the Minister of Agriculture, Fisheries and Food the estimated subsidy on potatoes exported this year.
§ Mr. GodberSome 67,000 tons of potatoes of the 1956 crop bought under the guarantee have been sold abroad for processing. The loss on disposals of this type, whether at home or abroad, is about £10 per ton.
§ Mr. WilleyIs this matter being reviewed by the Government in reviewing the export of foodstuffs which are being subsidised? The Joint Parliamentary Secretary will appreciate that representations are being made to his right hon. Friend about dumping and that we shall be in an impossible position if, at the same time, we are exporting foodstuffs which are subsidised by our taxpayers.
§ Mr. GodberI do not think that it arises so much in regard to potatoes. These are surplus potatoes sold for processing which are available for sale in this country and abroad at the same price, which I would say is approximately their actual value.
§ Mr. ChampionIf these potatoes can be processed abroad, why cannot we process them and save the import of feedingstuffs to some extent?
§ Mr. GodberWe are processing very considerable quantities. We have quite a good story to tell about the quantities that have been processed at sugar beet factories. All the available space not required for repairing in the sugar beet factories has been used.
§ Mr. J. E. B. HillWould not the Joint Parliamentary Secretary agree that the surplus this year is entirely attributable to a harvest which was as much above the average as last year's harvest was below the average?
§ Mr. GodberGenerally speaking that would be true, although the acreage showed a small increase last year. Potato production is variable from season to season and it is difficult to get exact similarity.
§ Mr. WilleyNo doubt the Joint Parliamentary Secretary will realise that we have to expect an unexpected surplus of foodstuffs now and that we must make provision to deal with it, although on an exceptional season basis.
§ Mr. GodberI remember that the hon. Gentleman and his hon. Friends last year in this House were high in their 903 indignation because the housewife had to pay such high prices for potatoes. That shows the difficulties that arise.
Air Commodore HarveyWill my hon. Friend bear in mind the possible shortage of cattle feedingstuffs in the months ahead if the drought continues?
§ Mr. GodberThat is a possibility, but I do not rate it as a very serious one at the moment.