HC Deb 25 May 1984 vol 60 cc561-2W
Sir John Osborn

asked the Minister of Agriculture, Fisheries and Food what has been the value to the United Kingdom consumer of butter-subsidies in each of the past four years.

Mr. MacGregor

The total value to the United Kingdom consumer of subsidies and price and levy reductions on butter in each of the past four years is as follows:

Year Value
£ million
1980 106
1981 85
1982 101
1983 119

Sir John Osborn

asked the Minister of Agriculture, Fisheries and Food what, in percentage terms, is the level of butter subsidy in the European Community market; and what is the level of subsidy for butter subsidised by the European Economic Community in the world market.

Mr. MacGregor

Various subsidies and price reductions apply to butter sold within the European Community as shown in the table.

Butter subsidy scheme Maximum aid or price reductions ecu/100 kg Aid or price reduction as a percentage of the intervention price*
General consumer subsidy 12.75 3.9
Butter sold to non-profit making organisations 157.0 49.1
Butter sold to Armed Forces 157.0 49.1
Concentrated butter sold for cooking 152.0 47.5
Butter for pastry manufacture 218.7 64.0
Butter for ice cream manufacture 133.7 37.4
Butter sold to persons receiving social assistance 80.0 25.0
* Intervention price for 82 per cent, fat butter = 319.7 ecu/100 kg.

The current refund on butter exported from the Community to third countries is 125.23 ecu/100 kg, equivalent to approximately 39 per cent. of the butter intervention price.

Sir John Osborn

asked the Minister of Agriculture, Fisheries and Food what proportion of the total amount of butter consumed within the European Community is subsidised by the European Economic Community.

Mr. MacGregor

In 1983 subsidies and price and levy reductions were granted in respect of 584,600 tonnes of butter. This represents 37 per cent. of estimated consumption in the Community in that year.