Milk (Hansard, 3 April 1968)

§ 15. Mr. Prior
asked the Minister of Agriculture, Fisheries and Food whether he will estimate the increase in the milk pool price in 1968–69 over 1967–68.

§ Mr. Hoy
So many uncertain factors affect the situation this year that it is not possible to make any firm forecast at this stage.

§ Mr. Prior
Is not one of the factors involved that we are still allowing very large imports of cheap milk products to come in? Does not this dilute the price of milk to the producer enormously? What intentions have the Government to stop this trade going on?

§ Mr. Hoy
I remind the hon. Gentleman that we must adhere to agreements entered into by the previous Government and I am certain that the Opposition would expect us to honour them. We have undertaken to discuss with the farmers' unions the proposals for a milk products levy.

§ Mr. Peter Mills
No wonder the Minister cannot forecast this figure. Will the hon. Gentleman now tell us how the farmers will cover the increased cost they have in milk production, which is at least 2d. a gallon?

§ Mr. Hoy
At the Annual Price Review the award was worth over £11 million. If the hon. Gentleman has not yet understood that, the country does. Obviously, anything which takes place this year will have to be taken into consideration at the next Price Review.

§ 28. Dame Irene Ward
asked the Minister of Agriculture, Fisheries and Food whether he will give an assurance that he will retain the present system on which the remuneration of the milk distribution is based, in view of the need to maintain regular supplies of milk in sparsely populated areas.

§ Mr. Hoy
The hon. Lady no doubt has in mind Report No. 46 of the National Board for Prices and Incomes. Consultations are taking place with the organisations concerned. I cannot anticipate the outcome.

§ Dame Irene Ward
Is the hon. Gentleman aware of the great anxiety of dairymen who are making very strong representations, as they want to continue supplying milk to the sparsely populated areas? Is he aware that, under the possible arrangements forecast, they seem to be in great difficulty? Will he give their claims very sympathetic consideration?

§ Mr. Hoy
I am aware of the extent of the feeling that has been provoked among certain dairymen. When we got the Report of the National Board for Prices and Incomes we felt it only right to consult with dairymen, along with others. The point of the hon. Lady will have serious attention.

§ Mr. Peter Mills
Does the Minister realise how important this matter is? Is he aware that it is not only a question of increased costs to some of the towns and rural areas, but involves the whole question of health and treated milk?

§ Mr. Hoy
We are dealing with the Report of the Prices and Incomes Board. I realise how serious this can be, especially in the rural areas. It might not have the same effect in urban areas as in rural areas but it could have serious repercussions. I have said that I will give it attention.

§ 40. Mr. Hastings
asked the Minister of Agriculture, Fisheries and Food what method of sampling was used by the National Board for Prices and Incomes when compiling its figures for the remuneration of milk distributors quoted in Command Paper No. 3744, and, in particular, for the figures in table 3.

§ Mr. Hoy
I understand that the Board based its table on material provided by this Department.

§ Mr. Hastings
Is it not true that these figures are based on an ad hoc sample taken in 1942 which was never intended as a measure of absolute cost but simply as one of movement? If that is so, does it not mean that the recommendations of the Prices and Incomes Board, particularly concerning retailing in the provinces, are invalid?

§ Mr. Hoy
It is not for me to make a judgment on that matter. I answered an earlier Question on this point. The hon. Gentleman should remember that the Prices and Incomes Board is an independent body. It has discretion to determine the method by which it carries out an investigation. It is for us, at the end of the day, to make a judgment on the case which it has presented to us. As I said earlier—I do not know whether the hon. Gentleman was here at the time—I shall certainly give serious consideration to representations which we receive.