HC Deb 15 November 2001 vol 374 cc976-7
11. Mr. David Heath (Somerton and Frome)

What assessment she has made of the profitability of the pig sector. [13074]

The. Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs(Mr. Elliot Morley)

The UK pig industry is going through a difficult time, partly as a result of the foot and mouth disease outbreak but also because of slack demand and plentiful supply. However, with the re-opening of export markets and the ability of the industry to restructure, using funds provided by the Government, medium-term prospects look more promising.

Mr. Heath

I am grateful to the hon. Gentleman for that reply, although it is a slight understatement to say that the industry is going through a difficult time. Historically, the pig industry has neither sought nor received Government subsidy and it is still reeling from the after-effects of, first, classical swine fever and then foot and mouth. It still cannot believe that the Government are not taking action to prevent illegal meat imports.

Will the Minister tell us about the pig industry restructuring scheme? The Government set aside £66 million, which was welcome. How much of that has been spent, how has it been distributed and what will be done with any residue to help our hard-pressed pig industry?

Mr. Morley

I certainly accept the hon. Gentleman's point that the pig industry has never really sought support from the Government and the taxpayer, and it deserves great credit for that. As he rightly states, the industry has been under some pressure and we acknowledge that.

The full £66 million for the pig industry restructuring support scheme was not taken up. The financing is complex and £3 million was used for business recovery schemes, which can also benefit the pig industry. As the hon. Gentleman knows, the Government have been successful in getting pig exports moving again earlier than expected and that will doubtless have a beneficial effect on the whole sector.

I have to take issue with the hon. Gentleman over the point about illegal imports. We are spending a great deal of time, money and resources to ensure that illegal imports do not get into this country and we shall, of course, continue to review and strengthen those efforts. However, no one can give a 100 per cent. guarantee that it will not happen.