HC Deb 26 February 1976 vol 906 cc601-3
4. Mr. Michael Spicer

asked the Minister of Agriculture, Fisheries and Food if he will now state whether he intends to take any action in response to the request for special assistance from the National Farmers Union to help the growers whose polythene tunnels were severely damaged or destroyed by the gales of 2nd January.

25. Mr. Brocklebank-Fowler

asked the Minister of Agriculture, Fisheries and Food if he has now considered the request made by representatives of the NFU in respect of the storm damage on 2nd January; and if he will make a statement.

Mr. Strang

It is not our policy to compensate farmers or growers for the effects of extreme weather conditions. However, we have examined the rules of our grant schemes and propose to amend them so as to recognise that the normal practice is to insure buildings for their current value which may not be the same as the cost of replacement. We also take account of the fact that some structures are uninsurable.

Mr. Spicer

I express my gratitude for that reply, particularly the Minister's last remark. Why are the Government more than willing to pour hundreds of millions of pounds into failing American industries yet in difficulty about making even short-term loans to a basically thriving British industry which has suffered a natural disaster—one hopes it was a unique event —an industry which merely calls for some form of short-term assistance to get it back on its feet again?

Mr. Strang

One of the reasons we support the horticultural industry is its contribution to employment. That, too, is why the Government supported the car industry.

Mr. Watkinson

Does my hon. Friend accept that his Answer today will be welcomed by glasshouse growers in my constituency? Is he satisfied that glasshouse growers face fair competition from their rivals on the Continent?

Mr. Strang

There is a great deal of scope for argument about what constitutes fair competition. However, we make every effort to ensure that the Commission monitors the aids given to other producers. Our producers are not at a disadvantage compared with producers in other member States generally.

Mr. Freud

If the Minister thinks that there is even a lukewarm case for giving help because of damaged polythene tunnels, does he not realise that there is a much stronger case for giving help where glass was destroyed? There was no polythene which could not be saved, but glass which was smashed has gone for ever. Will he now consider whether it is time to talk to the Chancellor of the Exchequer about giving the industry two or three years—

Mr. Speaker

Order. This is Question Time and this Question deals with polythene.

Mr. Strang

I think I can help the hon. Member. When growers replace glass that has been destroyed in storms, they are entitled to grants. The effect of the small concession I have announced is that the growers will get more grant.

Mr. Costain

Does the Minister appreciate that we agree with him about the employment position in the glass-house industry? Will he represent to the Chancellor that this industry provides excellent opportunities to avoid exporting currency in the short term by helping us not to import more hothouse produce than necessary?

Mr. Strang

I agree that horticulture makes a valuable contribution to saving imports, which is why the Government support it with capital grants and advisory services.