§ Mr. Sharpasked the Minister of Agriculture if he will give details of the operations involved in the purchase and sale of home-produced wool by his Department; whether purchases are made in small lots from individual farmers or from dealers; what determines the purchase price; and why he anticipates a trading loss of £1,100,000 during 1947–48.
§ Mr. T. WilliamsIn order to allow further time for the consideration of long-term plans for improving the marketing of home-grown wool, the Government have decided that wool produced in the United Kingdom (other than wool grown in the Orkneys, Shetlands and Outer Hebrides) shall be requisitioned for one further year. On this occasion, however, the Order will be made, not by the Board48W of Trade as hitherto, but by myself and my right hon. Friends the Secretaries of State for Scotland and for Home Affairs, acting in conjunction. This new Departmental arrangement is intended only as an interim measure; and every effort will be made during the ensuing months to lay the foundations of a permanent organisation which will be capable of handling all British wool from 1948 onwards. All growers will be required during 1947 to deliver their wool to merchants nominated by my Department as authorised collectors; this follows the procedure of previous years.
In reply to the last part of the Question, I may say that for the purpose of this year's estimates it was assumed that the 1946 level of prices would be maintained. These prices are in excess of the probable selling values, less the costs of collection and marketing. It is expected that, as during the war years, the final result of the year's trading will involve a loss.