§ 23. Mrs. SpelmanTo ask the Minister of Agriculture, Fisheries and Food what assessment he has made of the impact of the recent decline in farm incomes on the UK fanning industry. [63007]
§ Mr. RookerMy Department announced on 1 December that Total Income from Farming is forecast to be 33 per cent. lower in 1998 compared to 1997. The main reason for the fall in prices in 1998 has been the oversupply of commodity markets, although the strength of the "green pound" has also been a factor.
The Government are aware of the difficult times that some sectors of the farming industry are undergoing, and have responded by announcing an aid package worth £120 million, targeted to the sectors most affected.
For the future, Government and all those associated with food production in the UK need to work together towards a sustainable, competitive and profitable industry and an attractive and viable countryside. This means in particular securing reform of the Common Agricultural Policy.