HC Deb 06 April 1971 vol 815 cc83-7W
Mr. Arthur Lewis

asked the Minister of Agriculture, Fisheries and Food under the present known conditions of entry into the European Economic Community, what estimate he has made of the changes in quantity, types and costs of imports of coffee and brandy, respectively, into the United Kingdom.

Mr. Prior

It is impossible to make precise estimates at this stage. But our main Commonwealth suppliers of coffee have been offered association. If they decide to accept this, United Kingdom entry into the European Economic Community should have little effect on the quantity, types or cost of United Kingdom coffee imports. Most of our brandy is imported from the European Economic Community, and since the duty is mostly excise, our entry into the European Economic Community would have negligible effect on quantity, types or cost of brandy imports.

Mr. Arthur Lewis

asked the Minister of Agriculture, Fisheries and Food (1) whether he is aware that the European Economic Community countries have now agreed to increase farm prices by 10 per cent. and that on known terms for Great Britain's entry into the European Economic Community on 1st January, 1973, Great Britain would have price increases of 25 per cent. to 30 per cent. for grain, 60 per cent. for milk used in dairy industries, and 70 per cent. for beef; and whether he will give an estimate as to how much these increases would depreciate the purchasing value of the £ sterling, raise wholesale and retail prices, and raise the cost of living index figure;

(2) whether he is aware that food prices in the Common Market are to rise again including a rise of four per cent. for beef, rising to 10 per cent. over the next two years; and on any known basis of Great Britain's entry into the European Economic Community at present, by how much food prices would have to rise to show parity with the European Economic Community at present and in the future if these four per cent. to 10 per cent. increases in the next two years were applied in Great Britain;

(3) whether he will publish in the OFFICIAL REPORT as full and detailed a statement as may be possible showing to what extent Great Britain's acceptance of the Community regulations for liquid milk, pigmeat and eggs will alter or affect the present position so far as British farmers and the consumers are concerned.

Mr. Prior

The increases in question range from 1 per cent. to 6 per cent. with the exceptions of those for skim milk powder (14½ per cent.) and beef (10 per cent. over 2 years). The extent to which United Kingdom prices would increase following the adoption of the common agricultural policy would depend on relative price levels at the time and other factors.

Mr. Arthur Lewis

asked the Minister of Agriculture, Fisheries and Food (1) to what extent the new agricultural policy of the European Economic Community of reducing and amalgamating the number of farm units will affect British farmers on Great Briatin's entry into the European Economic Community;

(2) whether he will give a detailed statement on the effects on the British farming industry on Great Britain's entry into the European Economic Community if the Mansholt Plan on provisions for withdrawing farmers over 55 years of age is implemented; and what will he the costs, direct and indirect, if this plan is implemented.

Mr. Anthony Stodart

The Community's recent decision to encourage voluntary amalgamations and retirements should not cause any difficulty if we enter the Common Market, as it is broadly in line with the policy which successive Governments have been pursuing in this country. I cannot forecast the cost, as I understand that member States will be free to vary the financial incentives according to regions, and to exclude regions from some or all of the measures. In general, however, the creation of larger farms can increase farm incomes and lead to a more efficient use of resources.

Mr. Arthur Lewis

asked the Minister of Agriculture, Fisheries and Food whether he is aware that the European Economic Community non-reciprocal agreement with Iran on the entry into the Community of raisins and dried apricots at preferential tariff rates has been renewed; and how this will affect Great Britain's trade with the Commonwealth on Great Britain's entry into the European Economic Community on such goods entering Great Britain at preferential tariff rates over the Commonwealth products.

Mr. Anthony Stodart

My right hon. Friend is aware that the trade Agreement between Iran and the European Economic Community has been renewed. It is, however, a non-preferential agreement. Imports of raisins and dried apricots from third countries, including the Commonwealth, therefore benefit from the reduced tariff levels established under it.

Mr. Arthur Lewis

asked the Minister of Agriculture, Fisheries and Food whether he will publish in the OFFICIAL REPORT the scheme for a free trade in fish, as agreed to by the Common Market countries; and how this will affect the British fishing industry if applied to Great Britain on her entry into the European Economic Community, so far as national territorial waters and other matters are concerned.

Mr. Prior

The European Economic Community common fisheries policy as so far formulated is set out in a number of regulations and copies of my Department's unofficial translations have been placed in the Library of the House. On the implications for the United Kingdom of this policy I have nothing to add to my reply on 30th March to the hon. Member for Walthamstow, West (Mr. Deakins).—[Vol. 814, c. 334.]