§ 45. Mr. Rankinasked the Minister of Agriculture, Fisheries and Food what is the estimated additional cash flow required in order to cover the investment programme necessary for the expansion of the farming industry; and what rise in food prices would be involved.
§ Mr. John MackieIt is not possible to forecast this precisely, but the resources needed by the industry are examined each year at the Annual Review.
Under the present support system extra investment does not necessarily entail higher rood prices.
§ Mr. RankinI am glad to hear that final statement. Do I take it that my hon. Friend is telling us now that any money that will be given out in the farm review will not result in a rise in prices to the general public, who are already bearing large increases? Will he assure us that before any part of the grant is given to factory farmers the Government will make sure that they conform strictly to the regulations laid down by Parliament?
§ Mr. MackieAs to the latter part of my hon. Friend's supplementary question, we do not lay down conditions to intensive farmers provided that they are carrying out their job in accordance with the codes of practice for farm animal welfare. As to the first part of the question, apart from milk there can be no direct increase in food prices from annual review awards provided that these are made an the basis of deficiency payments.
§ Mr. GodberWould the Minister give us a clear assurance that there will be sufficient resources made available for the industry to carry out the investment and expansion programme about which he so often talks?
§ Mr. MackieThis is a question for negotiation with the N.F.U., at the Annual Review. It is not easy to forecast. For instance if there was a big increase in cereals the money required would be nothing like the amounts required if there was a big increase in stock. We have not set specific targets.