§ Mr. Rostasked the Minister of Agriculture, Fisheries and Food if he will institute an inquiry into the practice of exporting low-grade beef from United Kingdom cold stores to France via Calais, paying a lower rate of MCAs to the EEC, the beef being then cut up and reboxed in France, each large pack being divided into a number of smaller packages, and then immediately re-imported to the United Kingdom with documentation claiming it to be higher grade beef of French origin, thus receiving a considerably greater MCA payment from the Community.
§ Mr. BishopI am aware that for some time there has been legitimate trade which consists in the export of carcase beef from the United Kingdom to92W France; there the beef is cut up, certain portions of the carcase are sold on the French market and others are re-exported for sale in this country.
Because the rates of MCA are designed to take account of value added by processing, a higher rate of MCA is applied to boxed cuts than to carcase beef. Thus beef of United Kingdom origin which is re-exported to this country from France after processing will automatically receive a net MCA subsidy at a higher rate than the MCA charge imposed on export.
Since MCAs are applied according to the tariff heading under which a consignment of beef falls and the countries between which it is moving, not according to its specific value, its place of origin or the grade of animal from which it comes, misdescription of the kind referred to in the Question would not in itself establish entitlement to a higher rate of MCA. However, if the hon. Member has any evidence of particular trade which could involve fraudulent description I would be glad to follow it up.