§ 4. Mr. GerrardTo ask the Minister of Agriculture, Fisheries and Food what information his Department holds as to the contract price for potatoes in EC member states.
§ The Minister of State, Ministry of Agriculture, Fisheries and Food (Mr. David Curry)We do not hold information on contract prices for potatoes outside the United Kingdom, but have analysed movements in average market prices.
§ Mr. GerrardHas not the price of potatoes collapsed in much of Europe during the past 12 months, forcing many 991 producers into bankruptcy? Given that fact, why are the Government insisting on driving British producers into the same sort of market, rather than supporting the existing successful marketing scheme?
§ Mr. CurryIf it were true that prices had collapsed throughout Europe, including Britain, by definition the British scheme would not be working. In the processed market—the part of the market that is expanding—the United Kingdom is getting far too little of the investment and the continent far too much. We wish to ensure that we modify the present arrangements, to put British farmers on a level playing field and to ensure that we continue to dominate the European snacks and crisps market, which is at the leading edge of technology.
§ Mr. John MarshallWill my hon. Friend confirm that, due to the operation of the potato marketing scheme, we are even importing frozen chips because it is too expensive to make them here? Can he tell the House whether any EC country has a quota scheme to restrict the output of potatoes?
§ Mr. CurryPotatoes are the only part of Community agriculture which are not brought within the common agricultural policy regimes. There is a proposal to do so which would not permit the continuation of quotas. It is our view that the quota scheme, which has served its purpose—as it used to do with milk and the forgotten hop quotas—has probably been overtaken by events. We need to ensure a competitive and level playing field in Europe for our producers and for those who work in the processing industry.
§ Mr. Campbell-SavoursBefore forcing Britain's potato producers into the destructive conditions of the free market, and before any decision by the Community, or the United Kingdom unilaterally, would not it be wiser to press the European Commission to set up an investigation into the use of direct and indirect subsidies to European producers and processors? Could not such an investigation consider the subsidies in Holland, Jersey, France, Spain and Italy?
§ Mr. CurryIf it were true that the free market was destructive, one would expect there to be no healthy industry in France, Germany and Holland and one would expect consumers to he suffering from potato shortages— neither is true.