HC Deb 19 February 1987 vol 110 cc782-3W
20. Sir Geoffrey Johnson Smith

asked the Minister of Agriculture, Fisheries and Food what impact the temporary suspension of quota with compensation scheme will have on the income of the average United Kingdom dairy producer.

76. Mr. McLoughlin

asked the Minister of Agriculture, Fisheries and Food what impact the temporary suspension of quota with compensation scheme will have on the income of the average United Kingdom dairy producer.

Mr. Gummer

The level of compensation proposed, 6.5p per litre, compares favourably with the average profitability of dairy production, which is some 3 to 4p per litre in England and Wales. So while individual farmers' circumstances differ widely, the compensation will clearly be very valuable to producers in dealing with the cuts in quota.

32. Mr. Knox

asked the Minister of Agriculture, Fisheries and Food if he will make a further statement about the operation of milk quotas.

Mr. Gummer

I refer my hon. Friend to the reply I gave him on 22 January.

33. Mr. Strang

asked the Minister of Agriculture, Fisheries and Food what representations he has received from the industry about the effect of the planned cut in milk quotas; and if he will make a statement.

Mr. Gummer

I have received a number of representations concerning the effect of the December Council agreement on the milk sector. The agreement aims to reduce milk production across the Community by 9.5 per cent. through a mixture of direct cuts in quota, temporary suspension of quota and a tightening up of the quota system. Generous compensation arrangements have been introduced to help producers adapt to the lower level of production required.

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