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Government Assistance, European Countries

Volume 155: debated on Thursday 15 June 1922

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asked the Minister of Agriculture what assistance is given to the fishing industry in Norway, Sweden, Denmark, Germany and Holland by their respective Governments, and what form such assistance takes?

As regards Norway, I am circulating in the OFFICIAL REPORT a Note, a copy of which I have sent to the hon. Member. As regards the other countries named in the question, I have nothing to add to the information I circulated in reply to a question from the hon. Member for the Holland Division of Lincolnshire (Mr. Royce) on the 13th inst.

The following is the statement:

The Norwegian Government gave special assistance to the fishing industry in the following directions during the year 1921:

1. A State guarantee of November, 1920, to approved exporting associations of payment of 30 per cent. of credits granted by such associations to foreign buyers in connection with the sale of old stocks of salted large herring and spring herring, the liability of the State being limited to Kr. 7,200,000.

NoTE.—This guarantee did not apply to herring caught during 1921, but had as its object the clearing of old stocks. It has had no effect upon the prices paid to the fishermen during 1921, but, on the other hand, it has stimulated the export trade. The guarantee had not in December, 1921, involved the State in any expenditure.

2. A vote of Kr. 10,300,000 in December, 1920, to be applied as follows:

Kr. 5,000,000 to reducing the cost of petroleum used by motor fishing vessels.

Kr. 2,300,000 to assisting poor fishermen to purchase gear.

Kr. 3,000,000 to the Deep Sea Fisheries Fund.

3. A State guarantee of 23rd July, 1921, to dealers in klipfish, produced from cod, ling and torsk of the 1921 catch, against loss upon final sale of the fish, up to a sum of Kr. 10 per 20 kilos in the case of fish of good mixed first and second quality, and Kr. 6 per 20 kilos in the case of third quality fish and small fish.

As a condition for benefiting under this guarantee it is stipulated that the dealer must have paid to the original curer:

Per 20 kilos good mixed 1st and 2nd quality.Per 20 kilos 3rd quality.
Kr.Kr.
For klipfish produced from cod, at least158
For klipfish produced from ling, at least147
For klipfish produced from torsk, at least105

The liability of the State does not include sums paid in excess of the following pirces:

Per 20 kilos good mixed 1st and 2nd quality.Per 20 kilos 3rd quality.
Kr.Kr.
For klipfish produced from cod2012
For klipfish produced from ling1911
For klipfish produced from torsk159

It is further stipulated that final sale and delivery shall have taken place before 1st June, 1922.

NOTE.—This guarantee was not approved until the end of June, 1921, whereas the cod fisheries ceased in April. It has had no effect upon the prices paid to the fishermen during 1921, but, on the other hand, it has stimulated the export trade. The guarantee had not in December, 1921, involved the State in any expenditure.

4. A vote of 23rd July, 1921, of Kr. 1,700,000 in aid of the fishing population of Finmarken. Of this sum, Kr. 1,000,000 was to he devoted to emergency works and Kr. 700,000 to the grant to curers of loans for fish purchases.

5. The establishment of the long-projected Fisheries Bank, which commenced its operations on 1st November with a capital of 15 million kroner, borrowed under State guarantee. The Deep Sea Fishery Fund of Kr. 7,750,000 has also been transferred to the bank.

The bank will advice loans—

  • (a) in aid of the purchase, reconstruction and repair of the hulls and engines of fishing craft;
  • (b) to associations which grant advances against security in fishing craft;
  • (c) in aid of the erection or reconstruction of icehouses, freezeries, drying-houses or similar establishments for preserving or working up fish products;
  • (d) to corporations of fishermen for the purchase of gear, equipment, etc.
  • 6. The scope of the accident insurance for fishermen has been widened so as to provide pensions for fishermen and their dependants in the event of incapacity for work or of death.

    As regards 1922, a State guarantee to exporters has been given in respect of sales of herrings and fish to the Russian Trade Delegation. By agreement between the Norwegian Government and the Russian Soviet Government, a portion of the purchase price of Norwegian herring and fish is payable by means of bills of exchange falling due for payment in 1923 and 1924. The State guarantee is in respect of the bills which mature in 1923 and 1924 to the extent of Kr. 8,200,000, the exporters bearing the direct risk in respect of the remaining Kr. 2,694,000. The Norwegian Government has also undertaken the necessary sales organisations.

    The Norwegian Government have expressed themselves as opposed to a continuance of subsidies, as tending to hamper the return to normal conditions, which they maintain to be now desirable and possible.