HC Deb 31 March 1960 vol 620 cc1497-8
30. Mr. Willey

asked the Minister of Agriculture, Fisheries and Food the increase in the estimated cost of Exchequer support on the implementation of the price guarantee for pigs, made for the purposes of the 1960 Annual Price Review.

Mr. Godber

The cost of Exchequer support will depend, among other things, on the number of pigs certified in 1960–61 and the level of market prices. The increase in the value of the guarantee for fat pigs for Annual Review purposes, which is related to the estimated number of pigs certified in 1959–60, is £2¾ million.

Mr. Willey

Does the Joint Parliamentary Secretary realise that this means that the Government are doing very little about pigs? In July the tariff is being halved, and the tariff was estimated to be worth £6½ million a year to the pig industry.

Mr. Godber

I would not accept the hon. Member's argument. The halving of the tariff will in no way undermine the value of the guarantee. What matters to our British farmers is the level of the guarantee. They will be fully protected by it, whatever may happen in relation to the tariff.

Mr. Willey

Does not the Minister recognise that the argument for the tariff was that it was a protection for the pig producer, and that the readjustment made in the Price Review was to anticipate, in part, the effect of the tariff alteration? He has now revealed that the Government have not offset or redressed the disadvantage that pig producers will face during the coming year.

Mr. Godber

I do not accept that the tariff was put on as a protection for the producer. If it had been hon. Members opposite would be in a peculiar position, because they voted against it when it was put on. In fact, it has never been accepted as being intended for that. The guarantee to the producer lies entirely in the guarantee given in the prices given in the Price Review. That is their safeguard, and what really matters to them.

Mr. Willey

But does not the hon. Gentleman recollect that the major reason why we voted against the tariff was that we demanded that there should be better provision for the marketing of pigs? When shall we get some effective action from the Government?

Mr. Godber

The hon. Member must make such justification to the farmers of this country as he can for the mistake his party made in voting against the tariff.

Mr. Prior

Can my hon. Friend give any indication of the progress being made with long-term contracts for the pig industry? Can he further confirm, despite all that has been said by the N.F.U. about the Price Review, that if a certain section of the farming industry gets into a bad way—as the pig industry did—it is Government policy to support it, as has been done in this case?

Mr. Godber

I can certainly give my hon. Friend an undertaking to that effect. It is always our intention to support the industry. The 1957 Act, which we put on the Statute Book, confirms that. As for long-term contracts, I am aware of at least one factory which has offered them, and I think that others are being put forward shortly