§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food if he will circulate in the Official Report a table showing production, imports, exports and consumption of sheepmeat in the United Kingdom, France, Germany, Italy, the Irish Republic, Greece and other EEC countries, respectively, for each year from 1972 to date.
§ Mr. Buchanan-SmithThe information requested is as follows: 235W
1,000 tonnes Sheepmeat West Germany France Italy Netherlands Belgium/Luxembourg United Kingdom Irish Republic Denmark Greece 1972 Indigenous production 14 130 29 11 4 225 45 1 65 Imports 7 39 10 2 7 331 — 1 46.8 Exports 2 — — 10 — 23 12 — * Consumption 19 173 62 3 10 527 35 2 111.8 1973 Indigenous production 14 128 32 10 4 235 43 1 70 Imports 12 47 11 2 8 268 — 1 41 Exports 2 … … 9 … 27 12 — * Consumption 24 180 61 3 11 472 32 2 111 1974 Indigenous production 16 133 32 16 3 254 44 1 74 Imports 10 44 6 1 8 214 … 1 7.8 Exports 2 … … 13 … 27 11 — * Consumption 24 182 52 2 12 441 34 2 81.8 1975 Indigenous production 20 131 32 18 2 264 47 1 76 Imports 19 52 12 1 9 242 … 1 12 Exports 6 … … 15 … 34 12 — * Consumption 35 190 61 3 13 471 35 2 88 1976 Indigenous production 21 147 34 17 2 249 37 — 79 Imports 25 42 14 1 12 227 … 2 13 Exports 9 2 — 14 — 33 7 — * Consumption 42 195 63 3 16 434 33 2 92.0 1977 Indigenous production 19 144 36 18 2 228 37 — 79 Imports 29 46 12 2 14 219 … 2 8.0 Exports 11 … … 14 … 45 6 — * Consumption 43 198 61 4 18 396 33 2 87.0 1978 Indigenous production 20 147 19 18 4 237 40 1 na Imports na na na na na 226 na na na Exports na na na na na 41 na na na Consumption 46 202 67 5 20 402 30 3 na * Not separately distinguished. Sources:
For European Community: European Commission.
For Greece: OECD and United Nations Trade Statistics
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§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food (1) if he will circulate in the Official Report a table showing the price per ton of live sheepmeat at the farmgate, and for home-produced sheepmeat carcases sold wholesale, the landed price of Irish and New Zealand sheepmeat carcases, respectively, the wholesale price of Irish and New Zealand carcases, and an index or representative retails price for home-produced, Irish and New Zealand sheepmeat, in each of the years 1968 to 1978 and the current year to date;
238W(2) if he will circulate in the Official Report a table showing the retail price of sheepmeat from 1968 to the present date in the form of an index based on 1970 equalling 100; and how this compares with the movement in the retail price index excluding foodstuffs and the corresponding consumption of sheepmeat in the United Kingdom.
§ Mr. Buchanan-SmithThe information available is as follows: 239W
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SHEEPMEAT January to September average UNTIED KINGDOM 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979† Average market price £/tonne (i) 351 402 374 394 523 706 646 755 1,039 1,245 1,374 1,514 Wholesale price £/tonne (ii) Home produced 338 376 378 396 512 658 690 776 958 1,154 1,290 1,527 New Zealand 274 303 303 319 410 583 617 674 881 999 1,177 1,131 Landed price £/tonne (iii) Irish Republic 328 335 323 346 410 553 499 552 760 1,000 950 1,500 New Zealand* 267 298 312 314 380 557 599 597 719 863 962 993 Retail price index (iv) 1970=100 Mutton/lamb 85 94 100 107 130 172 195 213 266 317 365 407 All items excluding foodstuffs 90 94 100 109 116 124 143 178 205 236 256 285 Consumption per head of mutton and lamb (v) 1970=100 109 102 100 103 95 85 78 81 80 76 75 75‡ * Including allowance for 20 per cent. GATT tariff. † Provisional. ‡ January-June only Sources: (i) Average market price under fat sheep guarantee scheme (estimated dressed carcase weight based on live weight auction prices). (ii) Smithfield prices. Reuters quotations. (iii) United Kingdom Trade Statistics. (iv) Retail Price Index, Department of Employment. (v) National Food Survey.
§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food if he will circulate in the Official Report information showing how much is spent by his Department in direct and indirect support to sheepmeat producers; whether the amount spent would be increased or reduced as a result of the proposals put forward by the European Commission and by how much; and what would be the additional cost to (a) United Kingdom consumers in terms of retail prices in pence per pound and (b) the United Kingdom taxpayer in terms of an increased charge to the EEC budget of these proposals if implemented.
§ Mr. Buchanan-SmithSupport is available to all sheep producers under the fat sheep guarantee scheme and to hill sheep producers under the less favoured areas directive in the form of hill livestock compensatory allowances. In addition the British Wool Marketing Board operates stabilisation arrangements to minimise the immediate effects on producers of unstable world markets in wool.
Expenditure under the fat sheep guarantee depends in any year on the extent to which market prices fall below the guaranteed level. In 1978–79 expenditure under this guarantee was £0.1 million and nil in respect of the wool stabilisation arrangements. Expenditure in 1979 on the hill livestock allowances for sheep was £31 million.
Sheepmeat producers also benefit from general support to the farming industry such as farm capital grants and research.
The only item of expenditure likely to be affected by the proposals put forward by the European Commission is the fat sheep guarantee. The extent of any change in expenditure in the United Kingdom resulting from the replacement of the guarantee by a Community regime as proposed and the effect upon retail prices would depend upon the form and level of support adopted.
§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food how the support price put forward by the European Commission in its proposals for sheepmeat compares with the landed price of New Zealand sheepmeat in 1978 and 1979 to date; and what the proposed wholesale and likely retail price would be in the absence of a monetary compensation amount, in pence per pound.
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§ Mr. Buchanan-SmithThe Commission's proposals for the sheepmeat regime set out in document R/769/78 do not include an estimate of the support or "basic" price for the first year of a regime. The Commission has, however, indicated that it proposes to set this so that it does not provide support at above the equilibrium level. In discussion on possible modifications to these proposals my right hon. Friend has made clear his support for this principle.
The landed price for New Zealand sheepmeat, including the 20 per cent. GATT bound tariff, was on average £962 per tonne in 1978 and £993 per tonne in January to September 1979.
§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food whether the European Commission is proposing any restrictions on the importation of New Zealand sheepmeat into the United Kingdom; and if so, whether he will circulate in the Official Report information as to the nature of those restrictions in terms of price and volume.
§ Mr. Buchanan-SmithThe Commission is proposing no new restrictions on imports of sheepmeat from New Zealand, which will continue to be allowed free access to the United Kingdom market subject to the Community's GATT bound tariff of 20 per cent. The Commission is, however, considering the possibility of voluntary agreements with third country suppliers, under which they would agree to limit their imports into the EEC to recent levels in exchange for a reduction in the tariff. My right hon. Friend has said that he can agree to such an arrangement for New Zealand if it is freely agreed by New Zealand, provides adequate supplies to the United Kingdom market and does not involve minimum import prices. In recent years New Zealand sendings of sheepmeat to the EEC and the United Kingdom have been as follows:
'000 tonnes 1976 1977 1978 EEC (a) 223 221 232(b) United Kingdom (c) 210 213 214 (a) Source: European Commission (b) Provisional (c) Source: UK Trade Statistics
§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food if he will 243W publish in the Official Report the estimated cost of the sheepmeat proposals put forward by the European Commission, its advantages and disadvantages to each participating country, including New Zealand, and his estimate of the additional cost to the Community budget.
§ Mr. Buchanan-SmithThe Commission's proposals set out in document R/769/78 were estimated in that document to cost 81–118 million EUA—£55 million to £80 million. In discussion, other ideas have been suggested by the Commission and various member States but none have been formalised: their cost implications would depend upon the level of support adopted as well as market developments.
We are not seeking a common organisation for sheepmeat, but if there is to be one, and this is provided for in the EEC Treaty, it is in the United Kingdom's interest that it should involve a light, market-related regime. The Commission proposals provide for a regime of this form and we have accepted them as a basis for negotiation while making it clear that we will not agree to any arrangements which fail to meet the needs of the United Kingdom as the largest producer and consumer of sheepmeat in the Community.
It is for the Governments of other participating countries to judge the advantages and disadvantages to them of the Commission's proposals. As far as New Zealand is concerned, we are not prepared to accept any common measures affecting third country trade which are not freely negotiated with New Zealand and which do not provide continuing access for our supplies of New Zealand lamb.
§ Mr. Spearingasked the Minister of Agriculture, Fisheries and Food what estimate he has made of the effects of the EEC Commission proposals for a sheep-meat regime on the cost and consumption of lamb in the United Kingdom.
§ Mr. Buchanan-SmithThe Commission's proposals in document R/769/78 appear unlikely to have any significant effect on the cost and consumption of lamb in the United Kingdom. However, the precise effect of whatever sheepmeat regime may be finally agreed will depend on the form and level of support for244W Community production which is provided for within the regime.