HC Deb 24 January 1973 vol 849 cc173-6W
Mr. Deakins

asked the Minister of Agriculture, Fisheries and Food what increase is permissible under the freeze in the price of home-cured bacon.

Mr. Anthony Stodart

Any increase in the first-hand price of bacon produced in the United Kingdom is subject to the

HOME KILLED PRODUCTION
('000 tons)
1970 1972 (provisional) Percentage Difference
Beef 923.7 898.7 -2.7
Mutton and Lamb 223.5 215.6 -3.5
Pigmeat 905.7 960.1 +6.0

Mr. Deakins

asked the Minister of Agriculture, Fisheries and Food what discussions have taken place with the EEC on the future of the bacon market sharing understanding; and if he will make a statement.

Mr. Anthony Stodart

Notice of intention to withdraw from the Bacon Market Sharing Understanding from 31st January 1973 has been given by the United Kingdom and by Denmark. The withdrawal of either country would terminate the operation of the understanding under the terms of the 1969 Memorandum. The United Kingdom's action is not a matter that requires prior discussion with the Community.

Mr. Deakins

asked the Minister of Agriculture, Fisheries and Food (1) what proposals he has made to the EEC in respect of compensatory payments for pigmeat during the transition period;

(2) to what extent he estimates British pig producers and the pig industry would be at a disadvantage if compensatory payments were made by the EEC in respect of Danish pig products exported to the United Kingdom:

consent procedure set out in paragraph 5 of the White Paper "A Programme for Controlling Inflation: The First Stage" (Cmnd. 5125). No such increase has been agreed during the standstill period. As far as distributors' margins are concerned, the position under the prices standstill is that the price of individual cuts of bacon may be adjusted so long as the cash margin for the side as a whole remains unchanged.

Mr. Deakins

asked the Minister of Agriculture, Fisheries and Food if he will give the respective figures for United Kingdom production of beef, mutton and lamb, and pigmeat in 1970, the comparable figures for 1972 and the percentage change in each case.

Mr. Anthony Stodart

The figures asked for are as follows:

(3) if he will make a statement or recent discussions in the EEC about the future of the bacon stabilisation scheme during the transitional period up to 31st December 1977;

(4) if he intends that the flexible guarantee arrangements for pigs should continue in 1973–74; and if such decision requires the prior approval of the EEC;

(5) if he extends that the bacon stabilisation scheme should continue in 1973–74; and if such decision requires the prior approval of the EEC;

(6) what discussions have taken place with the EEC about the legality and future of the bacon stabilisation scheme.

Mrs. Fenner

The answer to these Questions is bound up with our adoption of the Community's pigmeat regulations and the arrangements for the transition to them which have been under discussion in Brussels this week. I would refer the hon. Member to the comprehensive answers about the outcome of these negotiations which my right hon. Friend is making today in reply to my hon. Friend the Member for Devizes (Mr. Charles Morrison) of which I have sent him a copy.

Mr. Deakins

asked the Minister of Agriculture, Fisheries and Food (1) what was the price difference between top quality Danish and English bacon on the wholesale market on 6th November 1972; what is the difference currently; and what steps he is taking to ensure that the housewife benefits from the relatively low wholesale price of English bacon;

(2) if the rise in Danish wholesale bacon prices in the London Provision Exchange since 6th November 1972 has been the result of world conditions;

(3) what has been the rise in the wholesale price of top grade Danish bacon since 6th November 1972.

Mr. Anthony Stodart

The prices of British and Danish Al grade bacon sides at first hand on 6th November 1972 were £445 and £450 per ton respectively. Today the prices are £445 and £525 per ton. The mechanisms of the prices standstill, together with the co-operation of the distributive trade and shoppers, provide the best assurance of benefit for the consumers of British and Ulster bacon. The price of imported bacon at first hand is a matter for decision by the overseas supplier.

Mr. Deakins

asked the Minister of Agriculture, Fisheries and Food what was his estimate in March 1972 of the amount of bacon stabilisation payment for 1972–73; what is his latest estimate and how much of the difference is attributable to the situation resulting from his decision to freeze the English bacon price as at 6th November 1972.

Mr. Anthony Stodart

The estimate of stabilisation payments to bacon curers for 1972–183 published in February 1972 was £12.8 million. The latest estimate is £11.3 million. The saving is attributable to higher first-hand bacon prices and, for part of the year, lower pig market prices than was expected.

Mr. Leadbitter

asked the Minister of Agriculture, Fisheries and Food what increases of beef have been exported to the Common Market countries since 1st December 1972.

Mr. Anthony Stodart

The information will not be available until the December issue of the Overseas Trade Statistics, which should be in the Library at the end of this month.

Mr. Leadbitter

asked the Minister of Agriculture, Fisheries and Food what was the highest and lowest retail price paid for beef during the last six months to the latest available date.

Mr. Anthony Stodart

The following table shows the highest and lowest average retail prices for various beef cuts from the prices collected for the purposes of the Index of Retail Food Prices between June and December 1972, the latest available date for which figures are available:

Lowest monthly price Highest monthly price
(p per lb.) (p per lb.)
Beef: Home killed
Chuck 42.7 47.4
Sirloin (without bone) 62.3 67.0
Silverside (without bone)* 55.2 59.5
Back ribs (with bone)* 39.0 43.2
Fore ribs (with bone) 38.3 42.2
Brisket (with bone) 26.3 30.3
Rump steak* 77.9 82.7
Beef: Imported, chilled
Chuck 37.6 41.2
Silverside (without bone) 45.2 48.2
Rump steak 58.4 60.3
* Or Scottish equivalent.

Mr. Leadbitter

asked the Minister of Agriculture, Fisheries and Food what was the retail price of beef in June 1970 and January 1973, respectively.

Mr. Anthony Stodart

The following table shows the average retail price of various beef cuts collected for the purposes of the Index of Retail Food Prices in June 1970 and December 1972, the latest date for which information is available.

June 1970 December 1972
(p per lb.) (p per lb.)
Beef: Home killed
Chuck 31.8 47.4
Sirloin (without bone) 44.8 67.0
Silverside (without bone)* 41.6 59.5
Back ribs (with bone)* 28.3 43.2
Fore ribs (with bone) 28.0 42.2
Brisket (with bone) 18.2 30.3
Rump steak* 57.2 82.7
Beef: Imported, chilled
Chuck 26.4 41.2
Silverside (without bone) 33.8 48.2
Rump steak 46.2 60.3
* Or Scottish equivalent.