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7.15 pm
Mr. Mark Robinson (Somerton and Frome): The hon. Member for Rother Valley (Mr. Barron) has reminded us that the debate goes rather wider than beef, but I make no apology for bringing us back to that topic. The crisis
facing the British beef industry is virtually without precedent in recent years, and it has been the most traumatic experience for many farmers in my constituency of Somerton and Frome.
I pay tribute to the NFU at all levels for the steady way in which it has coped with the crisis. The frequent meetings with Ministers and the willingness to discuss issues as they arise on a daily basis with local Members of Parliament have been appreciated and effective.
The same applies to Ministers who have made every effort to listen not only to the strong views of colleagues in the House but to representatives of a range of interests right across the agriculture industry.
That also extends to individual farmers, who have reacted to a most challenging and often frustrating situation with calm common sense. But as the days have moved into weeks, patience has been tested to the very limits, because there is nothing more debilitating than uncertainty and confusion, yet they have governed the situation since the crisis started in March.
In particular, there is nothing worse than to be told that a cull programme of animals aged more than 30 months is about to start, only to find more than a week later that it has not. That adds to the frustration, the boiling over and the kind of strong words that were used at yesterday's lobby here at Westminster which, to those who represent farming constituencies, was welcome.
Accordingly, I give a warm welcome to the clear and deliberate statement made today by my hon. Friend the Minister of State, which demonstrates that, at long last, the cull programme of cattle aged over 30 months is starting to approach its target levels. I hope that from now on it will run smoothly. But in saying that, I hope that my hon. Friend will monitor the situation carefully. The very build-up of the backlog has added to the pressures, and anything that he can do in the coming weeks to improve the situation so that there can be a slight acceleration in the achievement of his targets would be welcome to many farmers who still have to work out how to keep animals on the land.
I was glad to hear the assurances of my hon. Friend the Minister of State in regard to casualties, but that remains an issue that requires careful attention. Only this morning, I received a telephone call from a farmer in my constituency who is having problems disposing of a casualty animal. His frustration was palpable when he was told by his vet that it would be four working days before his animal could be dealt with, a fact that both he and I find utterly unacceptable. That frustration is compounded by the fact that we both know that there is a specialist abattoir in Frome which deals purely with casualty animals, but which has not been able to take any since the crisis began. Moreover, that abattoir has access to a neighbouring incinerator that is also idle.
A few days ago, the owners of the abattoir were told that they could prepare to start work again if they could ensure disposal--which they can, by way of incineration--only to be told subsequently that they could not proceed, as the abattoir is not EU-approved. That is despite the fact that they were working before the crisis began. What, I ask my hon. Friend the Minister of State, does that matter, if the carcases go straight to the incinerator?
I have given my hon. Friend the details of the case. The matter was also raised with me at yesterday's lobby, and I know that many farmers in my constituency who have traditionally used the abattoir would be deeply appreciative if the problem could be sorted out. Heritage is still working with sheep; why should it not work with beef casualties, especially as it does not take any meat that is going into the food chain?
Support for our beef industry is very important at present, and I welcome what my hon. Friend has already said about animals aged just under 30 months. The matter is of great concern, especially to farmers with very few animals.
I could not conclude this part of my speech without mentioning the European Union's totally unreasonable ban on British beef. As one who believes that our future lies at the heart of Europe--based on partnership--I feel strongly that the success of that principle requires mutual support at times of great difficulty. A ban such as this, which has no scientific justification, flies in the face of such a principle. It needs to be lifted, if possible without delay, and we all hope that some progress can be made on Monday. Its imposition has served to undermine not just our own beef market, but other EU beef markets. I hope that the EU will learn its lesson.
Had it not been for the current crisis, the debate would have focused much more closely on what I regard as one of the most important issues with which Europe must grapple: reform of the common agricultural policy. If we are to contemplate, as I believe that we must, further expansion of the European Community, with the inclusion of countries such as Poland, Hungary and the Czech Republic--an issue already raised by my hon. Friend the Member for Taunton (Mr. Nicholson)--the reform issues cannot stay on the back burner for ever. The cost of accepting those countries without CAP reform would be prohibitive. I agree with my right hon. and learned Friend the Minister of Agriculture that it is wrong, indeed foolish, to delay such issues until the last moment, a pattern that the EU has always followed when dealing with the CAP. That in itself breeds uncertainty: any such delay does not help farmers to plan their business.
The British agriculture industry is efficient and successful, both at home and in export markets. We see examples of that in our excellent agricultural shows, such as the Royal Bath and West show, which will be held shortly and which my hon. Friend the Minister of State will attend; he will be warmly welcomed. At present, we have an artificial agriculture market that is unsustainable under any concept of the single market. I regard that single market as extremely important. The farmer should be allowed to operate in a world of sensible market forces, with prices determined by consumer demand, and that must be achieved in a balanced countryside environment.
Mr. Gordon Prentice (Pendle):
I wanted to say something about the CAP, but because time is short I will concentrate on the BSE crisis, or calamity. It is costing billions of pounds, and the Government are culpable. The Green Paper "Agriculture in the United Kingdom 1995" drones on about the importance that the Government attach to deregulation, but in the midst of the present crisis they are recognising the importance of regulation.
I speak with some knowledge. Woodhead Brothers in Colne is the largest abattoir in the north-west. Within days of the triggering of the crisis by the Secretary of State for Health on 20 March, it announced 70 redundancies, and 200 people were put on short time. Only some of those jobs have been reinstated. The farming industry has been crucified, and jobs that are at a premium in my neck of the woods have been lost, perhaps irretrievably.
The Food and Drink Federation has told us that losses in that industry are running at £300 million, and rising. The animal feed manufacturing industry is in deep trouble--an industry that is worth £1.7 billion and employs 20,000. What on earth will happen to it? The head boning industry has been vaporised, and the Minister told us yesterday that those in that industry would not be compensated. The slaughtering industry will shrink alarmingly.
The Government commissioned a study from Coopers and Lybrand. It was a non-competitive tender: it went to only one firm of consultants, and cost £250,000. Coopers and Lybrand told the Government that, according to its financial assessment, the eventual closure of between a quarter and a third of abattoirs and cutting plants appeared possible. In three weeks, the crisis has cost the slaughterhouse and cutting plant industry the equivalent of 12 years of pre-crisis profit. The whole panorama of the industry reveals that it is in a state of collapse and near-collapse, but all that we hear from the Government is that it is not their fault. There was a sort of divine visitation; they are not responsible in any way.
Of course the Government are responsible. A briefing sent by MAFF to all hon. Members states:
We heard some nonsensical statements from Ministers at the time. I well remember the Minister of Agriculture saying on 20 March:
"The announcement by the Secretary of State for Health on20 March that there might be a link between BSE and . . . Creutzfeldt Jakob Disease . . . led to a significant loss of . . . confidence in British beef".
So there is a causal connection. The Secretary of State said that there might be a link, and consumer confidence evaporated.
"I do not believe that this information"--
that is, the information disclosed by the Secretary of State for Health--
"should damage consumer confidence and thus the beef market."--[Official Report, 20 March 1996; Vol. 274, c. 387.]
Well, it did: consumer confidence collapsed completely.
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