Cereals (Hansard, 7 July 1988)

§ 27. Miss Lestor
To ask the Minister of Agriculture, Fisheries and Food what is the expected size of cereal surpluses in(a) the United States of America and (b) the EEC in 1988; and what is the expected effect on the world price of cereals.

§ Mr. MacGregor
It is too early to make a realistic assessment of the size of United States and EEC cereals harvests and the implications for cereals prices.

§ 72. Mr. Teddy Taylor
To ask the Minister of Agriculture, Fisheries and Food if the proposals agreed by 11 member states at the recent Council meeting on the 1988–89 price review were designed to curb cereal production; and if he will make a statement.

§ Mr. MacGregor
The agreement reached by 11 member states on the 1988–89 price-fixing proposals contains some further steps to restrain cereal production. However, it has to be seen in the light of the European Council agreement in February which provides for cumulative price cuts of up to 12 per cent. over the next four years, as well as an additional 3 per cent. co-responsibility levy. These measures are clearly designed to curb cereals production.

§ 57. Mr. Tredinnick
To ask the Minister of Agriculture, Fisheries and Food whether, in the light of the drought in the United States of America, he will be seeking the lifting by the EEC Commission of the 160 million tonne ceiling placed on cereal producers.

§ Mr. MacGregor
No. It is too early to make any realistic assessment either of the impact of the current drought in north america or of the likely level of the Community cereals harvest. However, even if reduced cereal supplies in north America lead to increased export opportunities for Community cereals, it remains probable that the supply of cereals in the Community will considerably exceed demand for Community cereals, particularly if intervention stocks are taken into account.

§ 58. Mr. Yeo
To ask the Minister of Agriculture, Fisheries and Food what representations he has received regarding his proposals for the cereals set-aside scheme.
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§ 68. Mr. Chapman
To ask the Minister of Agriculture, Fisheries and Food what representations he has received from environmental bodies to his recent set-aside proposals; and if he will make a statement.

§ Mr. MacGregor
I have received comments from many quarters and welcome the widespread interest which has been shown in this new scheme.