HC Deb 16 November 2000 vol 356 cc1055-7
3. Mr. David Kidney (Stafford)

What steps he is taking to encourage the consumption of milk.[137134]

The Minister of State, Ministry of Agriculture, Fisheries and Food (Ms Joyce Quin)

We drafted, and Parliament approved, the necessary legislation to enable dairy producers to fund their own promotional activities via a statutory levy. They are now doing so via "The White Stuff' campaign, in conjunction with processors.

I am also pleased to announce to the House today that we intend to make good the reduction in EU subsidy for the school milk scheme from 1 January. The Department of Health and the Department for Education and Employment are joining MAFF in funding England's contribution to bridging the funding gap.

Mr. Kidney

That is excellent news about the scheme for school milk, especially about the free school milk for those children who might otherwise not get that nutrition and energy in school. I am glad that the label "milk snatcher" stays firmly attached only to the Conservative party. Does my right hon. Friend accept that some schools are still reluctant to take part in the scheme to deliver milk to their schoolchildren? Will she do her part in encouraging a better take-up of that excellent scheme around the country?

Ms Quin

My hon. Friend makes a good point and I thank him for welcoming my announcement. It is important to work with local authorities and schools around the country. Obviously, the scheme is voluntary, in the sense that local authorities and schools can choose to take it up. However, I am keen that they should look at the scheme and the variety of products that can be given to schoolchildren, including lower-fat milk, yoghurts and so on. I am keen to ensure that the take-up of the scheme is as good as possible.

Mr. David Heath (Somerton and Frome)

I agree with the hon. Member for Stafford (Mr. Kidney) and welcome the Minister's announcement. She knows that I have supported the generic marketing campaign. Does she agree that there is little point in increasing the volume of milk consumption unless we can also increase the profitability at the farm gate for dairy farmers? To that end, is she as disappointed as I am with the report on supermarkets by the Competition Commission, which, although it received evidence, seemingly had nothing to say? Will she institute a series of supply chain studies in the various sectors—starting with milk—publish those reports and allow us to see how we can maintain a sustainable increase in the price of milk to help dairy farmers?

Ms Quin

The hon. Gentleman makes a number of interesting points. I welcome the support that was given by both sides of the House to the order that we proposed, which allowed the levy to be raised to promote milk consumption. I welcome the Competition Commission's commitment to developing a code of practice for the food supply industry, including the dairy sector. That built on the work that MAFF had undertaken in the food chain initiative. We are keen to take the work forward and we hope to make further announcements in due course.

Obviously, there has been some increase in the price of milk, which helps producers, but we take seriously the importance of good communication across the food chain and of initiatives to add value to milk products.

Mr. David Drew (Stroud)

One issue that will help consumption is the continuation of the doorstep delivery. We are used to seeing a decline in such deliveries, but it is important for older people. In my constituency, three dairy rounds in Dursley were told, at less than a week's notice, that they had to pick up their milk from Stroud, an additional 13-mile journey. Is it not fair that we allow older people in particular to have their milk made available to them by making sure that the doorstep delivery continues into the future?

Ms Quin

My hon. Friend makes a good point: the doorstep delivery service has been much valued by consumers. We are keen that the dairy industry is able to supply consumer needs. Obviously, it has to evolve to changing consumer tastes, but the doorstep delivery system is a valued part of milk supply.

Mr. Nigel Evans (Ribble Valley)

I hope that the Minister is able to support doorstep delivery. In certain villages where the local shop has closed, the delivery is the only regular supply of food. When I am in Ribble Valley, I get my pinta delivered to my home. It is a superb service. We are trying to encourage milk consumption, but I am concerned with the plight faced by dairy farmers. A farmer came to see me last week and said that the amounts he was getting for milk had halved in a couple of years, and he felt that he was unable to continue in the dairy industry. What encouragement can the Minister give to dairy farmers in Ribble Valley and throughout the country that they will have a future in dairy farming?

Ms Quin

There has been a recent firming of prices of milk. We welcome that trend, and feel that the previous low prices were not sustainable. In addition, we have taken a number of measures to help the dairy industry—not only our efforts to boost consumption, but the agrimonetary payments for dairy producers and a number of specific measures regarding the removal of charges that dairy farmers would otherwise have had to face. On dairy farming, we have responded effectively to the concerns of producers over the past year.