§ 13. Mr. Nicholsonasked the Secretary of State for Northern Ireland if he will estimate the effect on Northern Ireland agriculture of the recent price agreement in Europe.
§ 14. Mr. Stephen Rossasked the Secretary of State for Northern Ireland whether he is satisfied that the arrangements relating to Northern Ireland agreed under the recent European Economic Community agricultural price review are as good as those applying in the Irish Republic.
§ Mr. ButlerIt is not possible to put precise and reliable figures on the effect on Northern Ireland agriculture of the recent European Community price settlement. It is, however, probable that there will be a significant reduction in the income of dairy producers as a result of the milk quota arrangements.
With the exception of the level of the milk quota, and taking account of inflation, the impact of the settlement on producers should be effectively the same for Northern Ireland as for the Republic of Ireland.
§ Mr. NicholsonIs the Minister aware of the frustration and anger in Northern Ireland, especially among dairy producers, following the European price agreement? Is he further aware that the loss to Northern Ireland dairy producers is £30 million? What has happened to the 65,000 tonnes production allocated to Northern Ireland in the Brussels agreement? Who benefited from the disappearance of that allocation set aside for Northern Ireland and who was responsible for hijacking it?
§ Mr. ButlerI am well aware of the feelings of Northern Ireland dairy farmers on this and I sympathise with anyone expected to take a very significant cut in milk production, but the hon. Gentleman does not help their case by exaggeration. I do not begin to accept the figure that he gave for the loss to dairy producers. The 65,000 tonnes allocation has certainly gone to Northern Ireland. The allocation between the regions of the United Kingdom was initially based on 1981 levels of production, to which was added the special quota of 65,000 tonnes agreed between the EEC Agriculture Ministers. A further addition of almost the same amount was then agreed between the Ministers responsible for agriculture in the various regions of the United Kingdom.
§ Mr. Stephen RossHas the Minister seen the recent report in Farmers Weekly that Northern Ireland dairy farmers believe they are now worse off than the rest of the United Kingdom, with production figures about 13 per cent. below those for 1983? Does that not mean that they must be worse off than their counterparts in the Republic? Will he also comment on the beef industry, which I understand is now in real trouble and in a far worse position in Northern Ireland than in the South?
§ Mr. ButlerIt depends on which year is taken for comparison. Production in Northern Ireland in 1983 was very significantly higher than in 1981. If the comparison is made on the basis of 1982, however, the favourable treatment for Northern Ireland becomes apparent. Northern Ireland milk producers overall will be able to produce about 3 per cent. more than in 1982, whereas their counterparts in England and Wales will have a reduction of more than 2 per cent.
§ Rev. Ian PaisleyWas the Minister of Agriculture, Fisheries and Food right or wrong when he came out of the negotiations and told the dairymen of Northern Ireland that they would be at an advantage as compared with dairy farmers in the rest of the United Kingdom? Is the hon. Gentleman saying that the figures calculated by the Milk Marketing Board, to which the Opposition have referred, are erroneous? Will he now do something to alleviate the hardship of Northern Ireland dairy farmers, who are worse off than those in the rest of the United Kingdom because they get less money for the end product? Will he also bear in mind the serious position of the beef farmers in Northern Ireland? Why is it—
§ Mr. SpeakerOrder. I think that the hon. Gentleman has already asked four questions.
§ Rev. Ian PaisleyWe have the chance to ask questions only once a month.
§ Mr. ButlerMy right hon. Friend the Minister of Agriculture, Fisheries and Food made it clear that if there were to be exceptions in the allocation of milk quotas between member states, especially with regard to the Republic of Ireland, Northern Ireland would also be treated exceptionally. That was done with the allocation of the 65,000 tonnes. As I have said, it was then further increased by agreement between Ministers representing the various regions.
It is difficult to predict the likely situation in the beef industry in the next few months, but a comparison between the Republic of Ireland and Northern Ireland shows that the various regimes are now very much on a par.
Mr. J. Enoch PowellIs the Minister asserting that the benefit of the additional 65,000 tonnes will accrue exclusively to Northern Ireland?
§ Mr. ButlerI have just made it clear to the House, as I made it clear publicly in Northern Ireland, how the figures were arrived at. The 65,000 tonnes benefited, and will benefit, Northern Ireland exclusively.
§ Mr. SoleyWill the Minister give up verbal gymnastics before he does himself a serious injury and recognise that Northern Ireland agriculture is squeezed between British and Irish agriculture, which is why farmers in Northern Ireland are angry? Does he agree that the only solution is to make common representations to the European Community, if we stay in it, on behalf of Northern Ireland and the Republic of Ireland?
§ Mr. ButlerThe hon. Gentleman should realise that Northern Ireland receives special benefits from European funds and national Exchequer funds because of our recognition of the Province's special problems. A common agricultural policy for the whole of Ireland, as he suggests, would not be acceptable to the people of Northern Ireland, let alone to the Government.