European Economic Community

HC Deb 23 March 1971 vol 814 cc230-4

10. Mr. Bryant Godman Irvine

asked the Minister of Agriculture, Fisheries and Food what, according to the latest available figures, are the guaranteed prices in Great Britain, and the European Economic Community intervention price, for barley and wheat, respectively.

Mr. Anthony Stodart

The United Kingdom guaranteed prices for 1971–72 are £1.45 per cwt. for barley and £1.63 per cwt. for wheat. The European Economic Community's intervention prices for January, 1971, are £1.94 per cwt. for barley and £2.18 per cwt. for wheat. Prices for 1971–72 are still under consideration by the Community.

Mr. Godman Irvine

Would my hon. Friend say whether, in the event of our negotiations with the Community being successful, this would be a favourable matter for our producers, or the reverse?

Mr. Stodart

As a producer of both these commodities myself, I should not have regarded the future as altogether unpleasant.

Mr. Cledwyn Hughes

Would the Parliamentary Secretary say what will be the effects of his right hon. Friend's proposed intervention price of £3.5 up to £6 on the price of bread in this country?

Mr. Stodart

With the greatest respect to the right hon. Gentleman, I see no connection with the Question which has been asked.

Mr. Marten

Is the Minister aware that today in the Common Market countries there is a great demonstration by farmers demanding higher and higher prices? What effect will this have on the budget of British housewives if we should enter?

Mr. Stodart

I notice that farmers in the Community are demonstrating, and the proposals for 1971–72 are that the price of barley and wheat should rise to £2.04 and £2.20 respectively. Without having a Question put down, I could not give the sort of answer which my hon. Friend, with his very meticulous mind, would wish me to give.

11. Mr. Bryant Godman Irvine

asked the Minister of Agriculture, Fisheries and Food to what extent he estimates that Great Britain will be able to influence the development of the common agricultural policy of the European Economic Community if she joins.

Mr. Prior

As a member of the Community we would have a full voice in its institutions and the development of the common agricultural policy.

Mr. Godman Irvine

Will my right hon. Friend say whether during the negotiations he has found that those responsible for the agricultural aspects of the Community are flexible or inflexible in their approach? Will he further say that the progress they have made in restructuring the Community's agricultural policy and the reduction of surpluses are matters in which we might be able to make a contribution?

Mr. Prior

To the latter half of my hon. Friend's question the answer is "Yes". To the former part, about the flexibility of the Commission in respect of British agriculture and British entry, the answer is that we would like them to be more flexible still.

Mr. Deakins

Does the Minister's answer to the first part of his hon. Friend's supplementary question indicate that the Government, in the context of the Common Market, would use their influence to see that producer prices were reduced rather than increased?

Mr. Prior

I think it would be wiser to get the terms of entry before we discuss what we shall do after we get entry.

Mr. W. H. K. Baker

Is my right hon. Friend persuaded that if negotiations go on he can obtain favourable considerations for the hill farmers of this country under the terms of the E.E.C. agricultural policy?

Mr. Prior

This remains to be discussed and negotiated in Brussels. I assure my hon. Friend that we have the position of hill farmers very much in the forefront of our minds.

Mr. Mackie

Have not the Government, by committing themselves to a levy system, lost a point? If we join the Common Market and want to change the common agricultural policy, we have committed ourselves already and lost the argument.

Mr. Prior

No, Sir. It was the previous Government that committed themselves to the common agricultural policy. Once that step was taken, that was the end of the story.

Mr. Cledwyn Hughes

Is the Minister aware that he has committed himself to a managed market before entering the Common Market, which was not the policy of the Labour Party? Does he accept that, in the event of our entering the Common Market, a transitional period of less than five years would be damaging and unacceptable to British agriculture?

Mr. Prior

The longer the transitional period the better and the easier it is for us to make the transition—that is quite clear. We have always made it clear that we were committed to the levy policy, whether or not we went into the Common Market.

16. Mr. Blaker

asked the Minister of Agriculture, Fisheries and Food what procedures will exist within the enlarged Community for British producer organisations to influence prices of agricultural produce.

Mr. Anthony Stodart

There will be an annual review of the economic conditions and prospects of agriculture in the enlarged Community. This will provide for effective consultation with producers' organisations at the Community level before the Council of Ministers takes decisions on prices. At the national level, the Government will also be free to conduct an annual review with producers' representatives.

Mr. Blaker

As it is an essential part of the Community's agricultural policy to rely on producer groups to stabilise the market, is there any reason why this should not be true for horticulture?

Mr. Stodart

None at all, and it is a fact, I think—if I recall an answer which I gave my hon. Friend some months ago —that the amount of horticultural produce at present marketed by co-operative groups is very small and there is big room for improvement.

Mr. Deakins

Why will not the Minister agree to place the arrangements for the E.E.C. review of agriculture for United Kingdom producers here on a statutory basis, which would give producers some confidence that their interests would be looked after both in Brussels and in this country?

Mr. Stodart

Farmers will be able to put their views on prices to the Commission just as they can put their views to the Government now. They have no absolute right of consultation under the present system, nor have they any right to take part in the decisions.

Mr. Farr

What effect will the domestic review have? Will it be considered in conjunction with a later review in Brussels?

Mr. Stodart

The review in this country will not be a price determination; it will be a general look at economic conditions and prospects, and thereafter there will be a review in the Community.

17. Mr. Marten

asked the Minister of Agriculture, Fisheries and Food what assessment he has made of the extent to which inshore fishermen are likely to benefit from entry into the Common Market; and if he will make a statement.

Mr. Prior

Our detailed examination of the implications of the common fisheries policy is still proceeding. This includes contacts with the Commission at Brussels on aspects of the policy, certain details of which have not yet been settled. It would be unwise to make an assessment until we have all the essential clarification.

Mr. Marten

If my right hon. Friend cannot make an assessment, will he nevertheless give an assurance that in our negotiations with the Common Market he will make it a prerequisite of acceptance of any package deal that our inshore fishing industry shall not suffer?

Mr. Prior

I am determined, as my hon. Friend knows, to protect the legitimate interests of the inshore fishing industry. But when one is negotiating, as we are at the moment, it would be unwise to declare all one's hand in advance.

Mr. Spearing

What interests of the inshore fishermen are illegitimate?

Mr. Prior

I should have thought that there were certain interests, such as conservation, which were extremely important; and this is the sort of interest which must be worked out.