HC Deb 17 July 1980 vol 988 cc1746-8
14. Mr. Spearing

asked the Minister of Agriculture, Fisheries and Food what items will be on the agenda for the meeting of European Economic Community Agricultural Ministers on 22 July.

Mr. Peter Walker

I refer the hon. Member to the written answer given by my right hon. Friend the Lord Privy Seal on 1 July in response to a question by my hon. Friend the Member for Preston, North (Mr. Atkins) on forthcoming business in the European Council of Ministers.

Mr. Spearing

When the Minister next discusses New Zealand butter quotas with his colleagues, will he point out that New Zealand's failure to achieve some of those quotas is due to the unrealistically high levies imposed by the EEC? Will he confirm that New Zealand can sell butter at 27p a packet in Britain and that the EEC equivalent would cost 40p?

Mr. Walker

The volume of sales has not been affected by the level of the levy so much as by the manner in which it has been operated, namely against the volume of butter that comes in from New Zealand. The New Zealand Government would like to obtain better butter prices than they have done in the past.

Mr. Leighton

Does the Minister recall that he has given repeated assurances from that Dispatch Box, including the assurance that he gave in answer to his hon. Friend the Member for Holland with Boston (Mr. Body), to the effect that he would not increase the prices of goods in structural surplus? As he has now reneged on those assurances twice in succession, does he believe that his word has any credibility in this House?

Mr. Walker

I believe that the hon. Gentleman was absent when I answered an earlier question. I pointed out that food producers' prices had risen by only 4.1 per cent. in the past 12 months. The two smallest CAP price increases in the history of the Community have taken place under this Government.

Mr. Body

Will my right hon. Friend draw the attention of his European colleagues to the fact that the tax on im ported wheat is higher that it was under the Corn Laws?

Mr. Walker

The Government have constantly negotiated for reductions in the levies on imported goods that the Community cannot supply.