HC Deb 14 December 1978 vol 960 cc885-6
2. Mr. Jay

asked the Minister of Agriculture, Fisheries and Food what is the present level of EEC levies on imports from outside the EEC of wheat, maize and barley, respectively, as a percentage of the import price.

The Minister of State, Ministry of Agriculture, Fisheries and Food (Mr. E. S. Bishop)

Based on the Commission's calculations of import levies of 4th December, the net United Kingdom levy on third country imports of wheat, maize and barley expressed as a percentage of the total import price, including levy, were 31 per cent., 42 per cent. and 49 per cent. respectively.

Mr. Jay

Is my right hon. Friend aware that a major glucose manufacturer in my constituency is being forced by this absurd levy to discharge a large section of his labour force? Will he take strenuous steps to get this levy reduced to a reasonable level, even if it cannot be cut out altogether?

Mr. Bishop

I think that my right hon. Friend will know the views of my right hon. Friend the Minister about that particular levy. The main point is to try to reduce all levies, especially the one concerned.

Mr. Spearing

Does my right hon. Friend agree that those figures show that there is, in effect, a 30 per cent. to 50 per cent. tax on imported grain from outside the EEC including wheat for bread making? Will he let me know, in writing, the amount in millions of pounds per year, thus added to the cost of British bread?

Mr. Bishop

I cannot give the overall figure, but I think that my hon. Friend can work it out if I tell him that the net United Kingdom levy is made up by taking the EEC gross levy, multiplying it by the United Kingdom monetary coefficient, dividing it by the United Kingdom representative rate, and subtracting the United Kingdom MCA. What matters is the effect on the price overall.

Mr. Speaker

Order. The Minister must address the House, not his hon. Friend.

Mr. Peter Mills

Will the Minister bear in mind—I am sure that he knows this but perhaps he has forgotten it—that there are proposals for refunds on imports of maize? This would help the whole of the starch industry. Surely this is the right answer? Will he look at this again and urge his right hon. Friend to pursue this matter of a static refund, because this would help the industry considerably?

Mr. Bishop

I have already said that the matter is still under review. Our view is that the levy should be the minimum possible levy.