§ Lord Stodart of Leastonasked Her Majesty's Government:
Whether progress is being made in permitting greater flexibility in the transfer and acquisition of milk quotas.
§ The Minister of State, Ministry of Agriculture, Fisheries and Food (Lord Belstead)Since the milk quota system was first introduced, my right honourable friends have been seeking greater flexibility to allow the industry to develop efficiently. After consulting the industry, my right honourable friend the Minister of Agriculture, Fisheries and Food has concluded that it would be helpful to make greater use of the existing provision in the Community rules under which purchasers of milk may reallocate quota. Within this context there is room for a limited arrangement under which producers may agree to reallocate quota between themselves for up to one quota year. I am pleased to say that the Dairy Produce Quotas Regulations 1986 which my right honourable friend is today laying before Parliament include provision for such temporary reallocations to be registered by the purchasers of milk (the Milk Marketing Boards). This facility will be available to producers for the new quota year starting on 1st April. This provision in the regulations is in addition to those which my right honourable friend announced on 6th March in another place.