§ 2.35 p.m.
§ BARONESS BURTON OF COVENTRYMy Lords, I beg leave to ask the Question which stands in my name on the Order Paper.
§ [The Question was as follows
§ To ask Her Majesty's Government what has been the percentage fluctuation in (a) the farmer's price and (b) the import price of wheat during the past twelve months, and the percentage fluctuation in the price of the standard white loaf over the same period.]
THE JOINT PARLIAMENTARY SECRETARY, MINISTRY OF AGRICULTURE, FISHERIES AND FOOD (LORD ST. OSWALD)My Lords, the average price of home-grown wheat received by farmers has fallen by about 14 per cent. during the twelve months up to October, while the average c.i.f. price of imported wheat has increased by 3 per cent. There was a general increase of ½d. last February in the price charged by plant bakers for the 1¾ lb. standard loaf, which is an increase of 4 per cent.
§ BARONESS BURTON OF COVENTRYMy Lords, while thanking the noble Lord for that Answer—I am sure his Department wishes to fee helpful and not confusing—might I ask whether I should be right in assuming from that Answer that it seems rather strange that, while something has fallen, the price of bread has gone up? Could the noble Lord give us the reason?
LORD ST. OSWALDMy Lords, I can give the noble Lady a reason. The reason is that home-grown wheat accounts for about one-fifth of the average bread flour grist. The remainder is imported wheat which, as I stated in my Answer, has 134 actually shown a slight rise over the last twelve months. Moreover, the drop in price of home-grown wheat affects only supplies bought since the last harvest.
§ BARONESS BURTON OF COVENTRYMy Lords, could the noble Lord help me on a matter of which I am very ignorant? Could he epxlain why there should only be one-fifth of home-grown wheat, I think he said, in the loaf?
LORD ST. OSWALDMy Lords, that is a question which had occurred to me. I understand it is because the British bread consumer wishes to consume that sort of loaf.
§ BARONESS BURTON OF COVENTRYMy Lords, is the noble Lord aware that we shall all await further comments from the consumer on that point? Lastly, might I ask the noble Lord whether he is aware that I have a letter from a farmer which I received yesterday, and which I should be glad to show him afterwards? May I ask whether the noble Lord is aware that this farmer says:
The price of wheat has now sunk to below £17 on the farm. Neither the flour millers nor the biscuit makers will make any adjustment in their retail price"?Could the noble Lord ask his Department to inquire into these matters?
LORD ST. OSWALDCertainly, my Lords. Of course I will inquire into the matter. I think the noble Lady's informant—unless her figures are more up to date than mine, which is possible—is wrong in saying that the price has gone below £17 a ton. It did, in fact, average £17 14s. during October. Of course, that is a month ago, and her figures may be more up to date than those I have quoted.
VISCOUNT ALEXANDER OF HILLS-BOROUGHMy Lords, may I suggest that there should be a little revision in the Department over their figures? The price for wheat ex-farm in Essex has for weeks been 16s. 6d. a cwt. That is much below £17 a ton. I am quite sure of my figures. The figure quoted by the noble Lord is quite fallacious. The average price being paid in London mills to-day, delivered, without carriage being paid by the miller, is £18.
LORD ST. OSWALDMy Lords, the figure I gave was not for Essex. It 135 was the average price of growers according to the Corn Returns for England and Wales. I know that my figure on that basis is accurate.
VISCOUNT ALEXANDER OF HILLS-BOROUGHMy Lords, I could have given some other figures to convince the noble Lord. He believes too easily what is told him.
§ BARONESS SUMMERSKILLMy Lords, as my noble friend's letter is dated November 29 and comes from Salisbury, could the noble Lord tell us what he thinks the figure is in the Salisbury area?