§ Mr. WigleyTo ask the Secretary of State for Wales what assessment he has made of the effect of the present state of the milk industry on ancillary industries, rural employment and the rural economy of Wales. [39741]
§ Mr. Win GriffithsI am conscious that there is a significant economic multiplier effect associated with dairy production in Wales, and that the present low milk producer prices situation will be having a negative impact on rural businesses. An estimate of the multiplier effect in the dairy sector is given in a recent report published by the Welsh Institute of Rural Studies entitled "LFA Policy in Wales: A Review of the Socio-Economic and Environmental Effects of the HLCA scheme". It states that using 1991 estimates for the milk production sector, for every on farm job there are 0.25 jobs in other industries in Wales.