HC Deb 21 February 1985 vol 73 cc578-9W
Mr. Speller

asked the Minister of Agriculture, Fisheries and Food if he will seek to make arrangements with the European Economic Community to allow full interchangeability between direct sellers of milk and holders of wholesale quotas.

Mr. Jopling

As a result of our repeated pressure the Commission has now made proposals designed to provide greater flexibility between wholesale and direct sale quotas. I shall be pressing for the urgent adoption of the necessary measures.

Mr. Austin Mitchell

asked the Minister of Agriculture, Fisheries and Food (1) what was the cost in 1983 and 1984 of the reduced rate of co-responsibility levy on milk production in the less favoured areas of the United Kingdom, excluding hill farms; and how this compares with earlier years;

(2) what was the cost to the European Economic Community budget in 1983 and 1984 of exempting hill farms in the United Kingdom from the co-responsibility levy on milk production; and how this compares with earlier years.

Mr. MacGregor

Co-responsibility levy is collected on milk delivered to dairies, but at a rate reduced by 0.5 per cent. in respect of producers in less favoured areas as defined in article 3(4) of directive 75/268/EEC, up to an annual limit of 60,000 kilograms per producer. Hill farms in the United Kingdom are not exempted from the co-responsibility levy on milk production. They fall within the less favoured areas and benefit from the lower rate of levy. The levy collected from them is not separately identified. If the levy had been collected at the full rate in the less favoured areas in the calendar years of 1983 and 1984 it is estimated that the following additional amounts would have been payable to the European Community budget.

£
1983 374,997
1984 668,905

In years prior to 1983 the amounts would have been similar to those in 1983. In 1984 the scope of the designation of less favoured areas was extended and so the benefit from the reduced rate increased.

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