§ Mr. Staintonasked the Minister of Agriculture, Fisheries and Food why he approved the reduction in the surcharge by the Sugar Board in the Order dated 26th April, 1965; and whether he will make a statement as to his future policy on this matter in relation to the provisions of the Sugar Act.
§ Mr. PeartAs I told the hon. Member on 26th January, the present rate of surcharge includes an element designed to eliminate by June this year, the deficit incurred by the Sugar Board in 1964. This deficit is now well on the way to being extinguished and I approved the reduction in the surcharge because it appeared that the Board's current income was more than sufficient to meet its current outgoings properly chargeable to revenue account and also to recover at a reasonable rate the outstanding residue of its deficit. Once the deficit has been recovered, the Board will seek to balance its revenue account, taking one year with another, as required by Section 4 of the 1956 Sugar Act.