§ 2.54 p.m.
§ Lord MottistoneMy Lords, I beg leave to ask the Question standing in my name on the Order Paper.
§ The Question was as follows:
§ To ask Her Majesty's Government whether the accession of Spain and Portugal to the EC will have an effect on the supply of almonds and hazelnuts from non-EC countries to United Kingdom food manufacturers.
§ The Earl of SwintonMy Lords, the terms on which non-EC almonds and hazelnuts enter the Community will be unaffected by the accession of Spain and Portugal.
§ Lord MottistoneMy Lords, I thank my noble friend for his reply, which seems favourable. Is he aware that the nuts referred to in the Question have to be bought outside the Community because of their quality? Is he aware that over the past few years there has been difficulty in getting import duties on them reduced because of objections by Italy? Will my noble friend please expand on the reasons for his obvious optimism in this area?
§ The Earl of SwintonMy Lords, there is no evidence that producers in the Twelve will suffer from competition from California and Turkey. In the case of almonds, the United States product is the only one which provides a guaranteed supply of non-bitter almonds, which are required for confectionery. Turkish hazelnuts likewise fulfil a market requirement which cannot be met by Mediterranean products. A commission study has stated that after accession the Community will be far from self-sufficient in these products.
§ Lord Cledwyn of PenrhosMy Lords, are the Government in favour of bringing the 7 per cent. almond duty to an end, and are they confident that Spain and Portugal will accept this? So far as hazelnuts are concerned, if I may enter this esoteric field a little further, do Her Majesty's Government favour increasing the Turkish imports of hazelnuts into this country and into the EC generally?
§ The Earl of SwintonMy Lords, non-EC imports of almonds and hazelnuts enter the Community at a 1150 tariff rate of 7 per cent. and 4 per cent. respectively, except for a small tariff-free quota for Turkish hazelnuts. After accession the tariff rate on imports from Spain and Portugal will be progressively reduced during the transition period. The Government indeed recognise the importance of maintaining access for supplies from traditional sources to meet the United Kingdom demand for nuts with specific characteristics, such as non-bitter almonds from the United States of America and Turkish hazelnuts.
§ Lord MottistoneMy Lords, can we therefore expect that the Government will be firm when the Spaniards and the Portuguese come to support the Italians in making it more difficult, or in hoping to make it more difficult, for us to import, and that they will make sure that changes do not come about except those which are favourable to United Kingdom manufacturers?
§ The Earl of SwintonMy Lords, yes, the Government will be firm. I should like to correct my noble friend on one matter. He keeps mentioning the objections from Italy. I have no knowledge of this at all. The United States is offering to reduce customs duties on certain agricultural products—table grapes, olive oil and pepperino cheese—in return for the Community agreeing to reduce its tariff on almonds from 7 per cent. to 2 per cent. As part of the same package the Americans are also offering to increase by 2,000 tonnes their cheese quota to benefit Italian-type cheeses of Community origin. This matter has been discussed on a number of occasions by the Article 113 Committee, and in fact we, Denmark, Germany and Italy are in favour of accepting this offer. I do not think that the Italians have been in the least bit unhelpful.
§ Lord Maude of Stratford-upon-AvonMy Lords, can my noble friend tell me why this country should need to import hazelnuts at all? They grow prolifically all over the southern parts of this country and are of excellent quality.
§ The Earl of SwintonMy Lords, I have not sampled them. Obviously, with my figure, I try to keep off sweets, but I understand that the ones from overseas are better for use in the production of confectionery.