Select Committee on Environment, Food and Rural Affairs Minutes of Evidence


Examination of Witnesses (Questions 40-59)

MR PETER STEVENSON

10 JUNE 2003

  Q40  Mr Mitchell: It is no good saying stall and tether is that kind of a barrier and sterling is that kind of barrier, there were two barriers and they were complaining about both.

  Mr Stevenson: It was a very minor one and figure after figure, including from the Meat and Livestock Commission, shows that moving from stalls and tethers to group housing added less than two pence to the cost of producing a kilo of pig meat. Other factors were much, much higher.

  Q41  Mr Mitchell: As an example, there was that place in Doncaster that was closed down by the Environmental Health Inspectors who found that they were reprocessing old chicken and tarting it up a bit and supplying it in huge quantities to Indian restaurants around the country.

  Mr Stevenson: I do not know about that example but can I just try and respond to some of the other points that are being put to me. Of course I do not believe it is easy but I do believe that if all the corporate consumers would follow the lead of people like Marks & Spencer, who only use free-range, McDonalds, Pizza Express, it can be done. Secondly, already under the Rural Development Regulation, under the Common Agricultural Policy, producers can be helped with the capital cost of changing to better systems. Under the Commission's new proposals, which hopefully will get decided later this week in Luxembourg, the capacity for Member States to help their producers move to higher welfare will be greater. There is some possibility of using CAP monies. The reason I have talked so much about corporate consumers is I recognise that for government—talking about EU now—to prohibit certain imports is very difficult under WTO terms, which is why one has to look to the big supermarkets, the food manufacturers, who are perfectly entitled to say to any supplier, including a non-EU one, "These are the standards we want". As I have tried to indicate in my submission, even if you look at the WTO it is not as negative and difficult a situation as is often thought. The WTO, to quote Commissioner Lamy, is still in its infancy, the rules and the thinking is shifting. I have indicated in the written submission that there are some very interesting cases and examples coming along which suggest that it might be possible—difficult but not impossible—for the EU to say "We have established certain welfare standards for our poultry, we want imports to come from birds reared to similar standards".

  Q42  Mr Mitchell: That is true, and flying pigs might come in as well. The EU is under great suspicion because it is accused of using animal welfare as another protectionist device from that gallery of protectionist devices that it has mobilised in the past. It is not necessarily likely to be acceptable to the Americans. You still have not tackled the basic point, that we cannot subsidise it and we cannot control imports and the consumer always goes for cheapness.

  Mr Stevenson: Chairman, and Mr Mitchell, I have tried within the relatively short time to answer those points. I am aware that I am probably running out of time. What I would say to the Committee is that, yes, it is difficult but we pride ourselves here, and indeed in much of Europe, on caring about animal welfare. I believe that both parts of the poultry industry are really very poor in welfare terms. We have got to have real changes, not just tinkering at the margin. Do we really imagine for the next ten, 20, 30, 40 years we are going to have these amazingly intensive poultry industries with all of the suffering involved? We have got to have reforms but we have also got to have a strategy that can make those reforms economically viable. It is not easy but it is not impossible. We need industry and government to work together.

  Q43  Mr Mitchell: The industry, the ones I have talked to in Lincolnshire south of Grimsby, is scared stiff. They say that because the market is very competitive and there are so many imports from Thailand and other places, the supermarkets are constantly trying to drive the price down, that any increase in their costs, however slight,—you say it will only be slight and I say substantial—either from barn rearing or enriched cages or whatever is going to drive them out of business because the banks will not lend them money, it is very difficult to get premises and they are strangled by the competition.

  Mr Stevenson: I can only repeat, I think it is a combination of consumers being willing to pay more and, Chairman, you raised the difficulty of the public sector being willing to support decent welfare standards, the supermarkets, the chain restaurants, the food manufacturers, all exercising their corporate social responsibility by sourcing to EU standards, possible restrictions on imports, because I think the WTO position is shifting. The CAP quite expressly does allow some support for farmers moving to better welfare. A combination of all of these factors could begin to turn the tide around. The one thing that I think of as totally unacceptable is saying for decades to come we will continue with both the hen and the broiler side of the industry where, frankly, the systems being used are inhumane, totally unacceptable.

  Q44  Mr Wiggin: Can I ask you which country do you think is the best at this?

  Mr Stevenson: Generally, you mean?

  Q45  Mr Wiggin: Which country is leading the way, in your opinion, on animal welfare in poultry?

  Mr Stevenson: It varies enormously. As you know, Germany has banned enriched cages so it has gone that step further, so from that point of view an accolade to Germany.

  Q46  Chairman: Is that not a future ban from 2012?

  Mr Stevenson: What Germany has done is they have introduced the ban on the conventional cage five years earlier than they had to from 2007.

  Q47  Mr Wiggin: Germany's poultry industry has virtually collapsed on the strength of it.

  Mr Stevenson: They banned the ordinary cage five years early from 2007 and the enriched cage, which they did not have to ban at all, they have banned from 2012. An accolade to Germany for banning.

  Q48  Mr Wiggin: Germany on eggs, who on broilers?

  Mr Stevenson: Although France's intensive industry is just as bad as our own, I feel the figure for free-range is probably quite a bit higher than the 12% I have given but I could not find a figure that hand on heart I could say was higher, I have seen figures of 20%. Their Label Rouge is really free-range at its very best, the best end of free-range.

  Q49  Mr Wiggin: Just to take Germany, in percentage terms how much of the German egg industry is imported because I understand now that Germany imports most of its eggs from Poland?

  Mr Stevenson: I honestly do not know but you must remember that Poland and all the other Eastern European countries will shortly be subject to the same welfare standards as ourselves. These problems are really Europe-wide problems and one can say that Germany is a bit better on enriched cages, France on free-range, but overall these are very common problems throughout the European Union and they need to be tackled at an EU level.

  Q50  Mr Wiggin: I just want to turn to what you were saying about supermarkets selling more than 50% non-cage eggs and you quoted a few companies earlier, like McDonalds and Pizza Hut. You were talking about the eggs that they buy, not the eggs used in their products, most of which will be powdered egg from unspecified sources?

  Mr Stevenson: I fully agree with you that there is a bigger problem with the powdered egg going into their products but, no, McDonalds' policy is that even the eggs they use in things like sauces and cakes, not just the eggs you see as eggs, are free-range, Marks & Spencer's policy is that both the eggs sold as eggs and ones going into egg products are free-range, Waitrose sell non-cage eggs but do not apply the same rule to their products. Pizza Express, of course, only sell products—pizza—but the eggs in that are free-range. Some of them are being responsible enough to say, "Our policy applies across the board".

  Q51  Mr Wiggin: And some do not. On the supermarkets that sell 50% non-cage eggs, why do you think consumers who do not wish to see welfare standards improve should pay for this change that you are proposing?

  Mr Stevenson: I think one rightly talks about consumer choice but where that choice has to stop, from my point of view, is the point at which the meat or eggs are derived from animals that have been treated cruelly. If there is any part of the choice that should not be open to us it is meat or eggs from animals that have been treated in cruel or inhumane systems.

  Q52  Mr Wiggin: The Israelis have developed a chicken now with no feathers.

  Mr Stevenson: Yes, I think that is appalling.

  Q53  Mr Wiggin: You would not like to see that brought in?

  Mr Stevenson: No.

  Q54  Mr Wiggin: Even if it grew slower and fulfilled all the other criteria?

  Mr Stevenson: You can have a slow growing chicken which has feathers. I can have my cake and eat it. It can be slow growing and feathered. There is no possible excuse to have a featherless chicken.

  Q55  Mr Wiggin: There are huge costs in terms of dealing with feathers from food production and these fall foul of the Landfill Tax, which is something else that I am sure you think is a good idea, so there are reasons, that because it is animal product it has to be incinerated rather than landfilled directly. There are all sorts of problems with legislation going forward. The real problem for poultry standards is the WTO and it is simply naive for all of us to hope that standards will go up unless the WTO make it possible.

  Mr Stevenson: I totally agree. I spend probably 25% of my time lobbying on WTO issues. By the way, I am a solicitor by background and I have written a very detailed legal analysis of the WTO problems close to animal protection. I agree with you. The shrimp-turtle case did introduce quite an interesting shift, although again I am not saying that all problems are therefore solved. Interestingly, I did have a letter from Commissioner Lamy, the Trade Commissioner, not long ago in which he really made the point that the WTO is still in its infancy and he was clearly saying that these things can shift and change, it is not set in stone forever. I know it is another mountain to climb but if we do not set out on these mountains of the WTO, of these big corporate consumers, what we are saying is, "Yes, we will have rotten, low welfare farm animal systems for decades to come".

  Q56  Chairman: Before switching from Bill to Diana to conclude the questioning, observers might assert that the CIWF approach over-estimates the wish of consumers to contribute to higher welfare standards, over-estimates the ability of producers to absorb the extra cost that is associated with higher standards, and possibly is over-optimistic about the ability of negotiators within the WTO Round to achieve higher standards in the way that you are suggesting. I put to Patricia Hewitt only a few days ago the thesis, almost, that really poor countries should have the ability to protect some of their own industries and should be able to restrict the rate at which markets are opened in their own interests, which is what Stephen Byers had said after he came out of government and his P45 removed the film from his eyes. If we cannot do it for people, how on earth are we going to do it for other sentient beings, such as poultry? That is the issue.

  Mr Stevenson: There are a lot of questions there. Firstly, can I make it clear that I recognise that farmers here and in the rest of Europe cannot absorb more costs, which is why time and again I have made it clear that we, the consumer, both individual and corporate, have to pay the extra costs involved. We cannot ask farmers to absorb that. You raised the point about developing countries and with exceptions, such as Brazil and Thailand, most developing countries do not yet have these very industrial pig and poultry systems, in the main they have smaller scale, more extensive farming systems, so if we have certain standards, be they set at government level or through the supermarkets, those countries can easily meet those standards because they are using the very kind of systems which would readily meet those standards. I honestly do believe if we are setting certain standards here for developing countries they may well find access to our markets perfectly possible. We have made the point recently to the European Commission that they do need to give trade related assistance to developing countries so that they can tackle problems of certification, of identification, where markets in the north lie, just the basic physical problems of how you get from a farm that is maybe 200 miles from the nearest port to Europe. Yes, there are problems but none of these are insuperable problems.

  Chairman: So retailers would source the replacement eggs and chickens from countries like Brazil and Thailand, which are not the very poorest of poor countries, is what you are saying I think.

  Q57  Diana Organ: From an animal welfare point of view, does your organisation object to halal butchery for poultry?

  Mr Stevenson: Yes, except that I must make it clear that, over the last ten years, an awful lot of animal slaughtered for halal are now pre-stunned, so clearly we do not object to that. We object to halal or kosher slaughter where the animals are not stunned and we totally support the Farm Animal Welfare Council recommendation this morning that all animals should be stunned before slaughter. Chairman, may I just respond very quickly before we run out of time?

  Q58  Chairman: I will have to wrap up by saying that I think our formal question session has concluded. If there are points you wish to go back to very briefly to elaborate on or respond to or there are other points which you feel have not emerged in this discussion, please take this brief opportunity to do so now.

  Mr Stevenson: I want to respond to the first half of the question and the comment you made about what consumers want out of the situation. I think there is a real problem. I think a food culture has been created over the last 50 years by dint of huge amounts of advertising by the food industry in which we all expect to have large amounts of plentiful cheap food and there is no part of that culture that encourages us to think, how have the animals been reared and treated? I would love to see the industry being willing to spend some of that energy and money in creating a slightly different culture in which part of what we look at is not just plentifulness and cheapness but also the responsibility of saying that these animals have to be reared to certain standards. The other point I would make is, as citizens, time and again, people in opinion polls or letters to members of parliament or to Government make it clear that animal welfare is important to them. When they go into the supermarket, they to some extent have to trust that that supermarket is behaving responsibly. After all, if we buy a car, even one at the cheaper end of the market, we trust, we rely upon the manufacturer that certain safety standards are met, and I do not think for most of us we think that some of the meat and eggs on the shelf are actually coming from animals that have been reared in cruel systems. We just do not know about it. I think that much greater public information about this would help enormously. I think there are a number of factors which would actually help consumers care more about the welfare.

  Q59  Chairman: Thank you very much indeed on behalf of the Committee for coming here today to give your evidence. You are very welcome to sit and listen to the next section of this inquiry where the British Retail Consortium will be telling us why the consumer can trust what they are doing and that they are operating in the best interest, no doubt, of the consumers and the poultry. Thank you very much for the time being, Mr Stevenson.

  Mr Stevenson: Can I just say that the reason I am not staying is because I have another appointment to go to and not lack of interest. I shall look forward to reading what they say. Thank you very much.





 
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