HC Deb 18 December 2003 vol 415 c1021W
Mr. Drew

To ask the Secretary of State for Environment, Food and Rural Affairs if she will make a statement on the help available to dairy farmers to increase innovation. [143654]

Mr. Bradshaw

Product innovation is, of course, for individual businesses to consider in line with the demands of the market. Nevertheless, Government can play a role in promoting innovation.

Under the auspices of the Dairy Supply Chain Forum, chaired by my Noble Friend Lord Whitty, the Milk Development Council has been working with other members to establish a Market Development and Innovation sub-group. The objective of this group is to stimulate and co-ordinate innovation for the development of British dairy products by creating a forum for the exchange of market information and ideas that anticipate consumer needs. The group will also consider how barriers to innovation might be addressed.

Furthermore, the Agriculture Development Scheme (ADS) offers grants for the various activities associated with the marketing of produce, including dairy products, and welcomes innovative applications. Support is also available under the England Rural Development Programme, which encourages the development of new products and markets through the Rural Enterprise Scheme and the Processing and Marketing Grant.

Mr. Drew

To ask the Secretary of State for Environment, Food and Rural Affairs what discussions she has had with the Office of Fair Trading to seek clarification of competition rules regarding the production, processing and retailing of milk. [143655]

Mr. Bradshaw

The application of competition rules in the milk sector was discussed between Ministers and officials in Defra, the Department of Trade and Industry and the Office of Fair Trading during 2002. These discussions were prompted by comments on the impact of competition rules on collaborative ventures made in the report of the Policy Commission on the Future of Farming and Food. The outcome of the discussions is reflected in the Government's Strategy for Sustainable Farming and Food and in its Response to the Report of the Policy Commission on the Future of Farming and Food, both of which can be found on Defra's website at: http://defraweb/farm/sustain/newstrategy/index.htm