HC Deb 10 March 1986 vol 93 cc357-8W
Mr. Craigen

asked the Minister of Agriculture, Fisheries and Food what consideration he has given to procuring the sale of European Economic Community surplus food stored in the United Kingdom.

Mr. Gummer

Day to day management of the common agricultural policy, including the disposal of intervention stocks, is the responsibility of the European Commission which consults member states through the commodity management committees. The United Kingdom is represented on these committees and takes an active part in encouraging cost-effective measures to dispose of stocks.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food how the representative of Her Majesty's Government on the management committee voted on the proposal to offer further supplies of butter at special prices to the Soviet Union, India and Pakistan on 28 February; and if he will make a statement.

Mr. Gummer

Our basic objective remains to tackle the problem of costly surpluses at source. However, while they continue to exist the cheapest way of disposing of them is often to sell them on the world market with the benefit of export refunds. These refunds bridge the gap between Community and world prices and are not a mechanism to provide importing countries with cheap food. Where there are surpluses for export the Government remain opposed to singling out any particular country for special treatment. The proposal presented by the Commission at the management committee on 28 February, did not restrict sale to a particular destination. The United Kingdom representative therefore voted in favour.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food if the cost of the special sale of butter announced by the European Commission on 28 February is included in the agricultural budget for 1986; and if he will make a statement.

Mr. Gummer

There is no specific provision for this sale in the 1986 budget, but there are provisions for disposal measures and export refunds generally which could be used. However, the Commission has stated that it considers that extra funds will be required in 1986 for the disposal of butter stocks.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food (1) what estimate has been made by the European Commission of the cost of the special sales of butter announced on 28 February;

(2) pursuant to his answer to the hon. Member for Aldridge-Brownhills (Mr. Shepherd) of 3 March. Official Report, column 10, what was the quantity of butter which the Commission agreed on 28 February to sell to the Union of Soviet Socialist Republics, India and Pakistan, respectively; and if the tender prices will be made public.

Mr. Gummer

The proposed sale of intervention butter announced on 28 February, involves a system of competitive tendering to determine the amount of the price reduction. The first invitation to tender will now close on 24 March. It is not possible to give any details of quantities, price or destination or to say whether such sales will in fact take place until the results of the tender are known.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food what percentage of the total tonnage of food exported to third countries by the European Economic Commission was sent to East Europe, including the Soviet Union, in the most recent annual period for which figures are available; and what were the comparable percentages in each of the previous 10 years.

Mr. Gummer

I will reply to my hon. Friend as soon as possible.