§ Mr. Macleanasked the Minister of Agriculture, Fisheries and Food when he intends to decontrol milk prices; and if he will make a statement.
§ Mr. JoplingI have held discussions with the Milk Marketing Board for England and Wales, the Dairy Trade Federation and the National Farmers Union with a view to improving the competitive position within the milk industry. In the light of those discussions, and of separate discussions which have taken place in Northern Ireland my right hon. Friends and I have decided that statutory price control of milk in England, Wales and Northern Ireland should end on 31 December 1984, a year earlier than the target date which I announced in my reply of 3 February to my hon. Friend the Member for Amber Valley. In addition my right hon. Friend and I propose to appoint management consultants to advise us on an examination of the commercial activities of the Board having regard to paragraph 53(4) of the Milk Marketing Scheme. The Dairy Trade Federation and the Milk Marketing Board for England and Wales have indicated that they are content with these moves. They have reached an understanding on improved procedures for the period after decontrol which will help the industry to resolve disputes without having to invoke statutory procedures. In addition the Milk Marketing Board for England and Wales has agreed with the National Farmers Union and the Farmers Union of Wales arrangements for consultation on matters affecting producer interests.
I believe that the measures represent a major improvement in our milk marketing arrangements. I am placing in the Library of the House terms of reference of the proposed study, the text of the understanding reached with the Board and the Federation and the text of a letter from the Chairman of the Board to the President of the National Farmers Union.