HC Deb 16 May 1972 vol 837 cc225-6
19. Mr. Hastings

asked the Minister of Agriculture, Fisheries and Food what estimate he has made of the effect on the competitive position of glasshouse growers in the United Kingdom within the European Economic Community of the fact that fuel oil to growers in the United Kingdom is on average 30 per cent. higher than for growers in Holland: and if he will make a statement.

Mr. Anthony Stodart

No estimate has been made of the relative effects of differences in particular glasshouse costs in the United Kingdom and in other countries. The cost of fuel oil is only one of a number of constituents in the production costs of various glasshouse crops.

Mr. Hastings

Nevertheless, as my hon. Friend has not denied the figure in the Question, would he not agree that it is a serious difference and that the Government will have to take note of this difference when considering the future of the horticulture improvements scheme, or whatever follows it after 1974, if the growers in this country are to compete on anything like equal terms?

Mr. Stodart

The difference is not quite as straightforward as it looks, because the United Kingdom price is delivered while the Holland price is ex-barge. There is a bigger rebate in fuel tax, although it is not very substantial in this country and there are substantial discounts in this country and virtually none in Holland.

Mr. J. T. Price

Will the Minister also bear in mind, when he gives further consideration to this Question, that Lancashire is one of the biggest producers of glasshouse products in this country—I mean not military prisoners, but tomatoes and edible fruits and so on? Will he remember, in spite of the constant apologetics of the Government about their agricultural policy under the Europe-an Community, that the Lancashire branch of the National Farmers' Union, of which the hon. Member himself is a member, although not in Lancashire, has placed it on record that if these proposals go through and affect this country as expected, they will destroy the glasshouse industry in Lancashire? I have already advised his right hon. Friend of that.

Mr. Stodart

I think that I would say "Yes" to the first question, although I have forgotten what it was—I have made that note. I do not accept that the efficiency of our growers is such that they cannot compete in Lancashire, with the big urban market there, against those who have to bear the heavy transport costs of long distances.