HC Deb 10 December 1964 vol 703 cc232-3W
Lady Megan Lloyd George

asked the Minister of Agriculture, Fisheries and Food if the annual consultations under the Commonwealth Sugar Agreement have been completed; and if he will make a statement.

Mr. Peart

This year's negotiations with the exporting members of the Commonwealth Sugar Agreement have been successfully concluded. A thorough review has been held of the method of fixing the negotiated price laid down in the Agreement. We made proposals for changes for the future and these and any other proposals will be further discussed early next year. In the meantime it has been agreed that for 1965 the price shall comprise a basic negotiated price of £42 a ton f.o.b. and stowed for bulk sugar for all members and a special payment of £3 5s. a ton for the less developed countries to be added to £1 6s. 6d. a ton replacing the benefits stemming from the operation of Colonial Certificated Preference. This two-tier price system is peculiar to sugar and indeed has only been introduced because of the present disorganised state of the world sugar market.

Negotiated price quotas have been consolidated at a level which represents an increase of 50,000 tons over 1964.

Arrangements were agreed for the accession to the Agreement of the sugar industries of India, Southern Rhodesia, and Swaziland.

The Agreement has been extended for a further year and will now run to the end of 1972.

The parties to the Agreement have reaffirmed their intention to work for a realistic International Sugar Agreement.