§ 5. Mr. Maclennanasked the Minister of Agriculture, Fisheries and Food what representations he has received regarding the prospects for beef producers in 1987.
§ Mr. GummerI have received a number of representations from farmers and industry organisations about the prospects for United Kingdom beef producers in 1987, particularly in the light of the inter-relation between the dairy and beef sectors.
§ Mr. MaclennanIs the Minister aware that his Department's complacency about the industry's predicament is a cause of great dismay to farmers? Is he aware also that the gap between the total return and the target price for beef in this marketing year is about £69 million? What does he intend to do about the green pound devaluation? How much does he propose to seek above what is proposed by the Commission?
Secondly, what is the Minister's intention with regard to the suckler cow premium? Does he intend to pay the maximum amount allowable and also to seek a substantial increase in the forthcoming price review?
§ Mr. GummerHow can the hon. Gentleman talk about complacency in the first part of his question when. in the second, he refers to two changes that the Government have brought about for that sector? First, we ensured that there was the opportunity of increasing the suckler cow premium and, secondly, we achieved a devaluation of the green pound in the wake of the green punt devaluation. This shows that the attitude that the hon. Gentleman claims for the Government is false.
1029 Thirdly, the hon. Gentleman might have reminded himself that the Government ensured in the negotiations that the British beef industry emerged from them with a better deal than that of any other country in Europe. The hon. Gentleman shakes his head. But he does not know the facts or the figures and he constantly complains.
§ Mr. HarrisI welcome what my right hon. Friend has said and agree with much of it. Does he accept that currently beef production is probably the most vulnerable sector of agriculture? Will he go to Brussels and bring about a real further reduction in the value of the green pound to correct the situation of recent months?
§ Mr. GummerMy hon. Friend is right. The beef sector has a number of problems. Not least there is concern about the effect that the culled cows will have on the market during the changes in the dairy quota regime over the next two years. We shall be negotiating to get the best deal we can for Britain, and this will be a major matter for our concern. I am sure that my hon. Friend would not expect me in advance of negotiations to tell those with whom I am negotiating what my bottom line is. The hon. Member for Caithness and Sutherland (Mr. Macleannan) thinks that I should, but he has never negotiated successfully in his life.
§ Mr. LivseyDoes the Minister agree that the beef settlement in the December agreement was a complete disaster for British beef producers and that the only way to put that right is a double-figure devaluation of the green pound, and nothing less? Will he give us that assurance, please?
§ Mr. GummerThe hon. Gentleman has not examined the figures. The effect on France, Germany, the Netherlands and Ireland is considerably worse than on this country. The hon. Gentleman cannot say that the settlement was disastrous, because we came out with the best deal of any country in the European Community. Of course, we shall continue to fight for the interests of British farmers and to be successful.
§ Mr. LordIs my right hon. Friend aware that my hon. Friends and I appreciate how difficult the problems are? Does he agree that the problems of beef producers are not confined to the north and the west? For example, many beef producers in East Anglia are in difficulties, and even the most efficient producers there are losing money. I urge my right hon. Friend to do his best in the negotiations to remember all our beef farmers, as I am sure he will. They are going through extremely difficult times and without a little help I fear that some of them will go under.
§ Mr. GummerI accept my hon. Friend's point and hope that he will remind beef producers in the east of England of what the hon. Member for Brecon and Radnor (Mr. Livsey) said recently, when he called for a moratorium on technological advance in agriculture in the Western world. That would hit our efficient beef producers extremely hard.
§ Mr. MaclennanOn a point of order, Mr. Speaker. In view of the wholly unsatisfactory nature of that reply, I beg to give notice that I shall seek to raise the matter on the Adjournment.