asked the Minister of Agriculture, Fisheries and Food what further measures he proposes to take to prevent further increases in the prices of basic family foods such as meat and bread.

I am well aware of the difficulties that price increases bring about, particularly for those in the low income groups. It is for this reason that the Government took the action over milk, sugar and potatoes which made an important contribution to the improvement now evident in the Food Index. The increase in the index has declined from an annual rate of 11·1 per cent. in March, 1972, to 6·4 per cent. in May, 1972. I shall continue to take full account of the interests of consumers in reaching all decisions which may affect food prices.

Is the right hon. Gentleman aware how concerned housewives are not only about the current "penny-farthing" increase in bread prices but also about the bakers' forecast of a 40 per cent. increase under the common agricultural policy? What does the right hon. Gentleman intend to do to prevent this and to protect British families from hardship if such a self-raising increase in flour and bread prices results from our Common Market entry?

:The 40 per cent. increase prophesied by certain sections of the baking industry as the result of our joining the Community is greatly at variance with our figures, which show that the effect of entry is 2 per cent. a year.

Does not the rate of increase in food prices in the last six months show a marked improvement on the previous year and a very considerable improvement on the period immediately before the last election?

Yes, Sir, that is absolutely correct. I shall be giving the figures later on in Question Time.

Will the Minister refute the charge that workers' wage increases are responsible for the rise in food—especially meat—prices? Will the right hon. Gentleman and his colleagues, who always blame the workers for inflationary prices, now recognise that their propaganda has been false and wrong?

:No, certainly not. No one should know better than the right hon. Gentleman that wage increases have had a far bigger effect on food prices as a whole than any other single factor.

What about beef?

:If only the right hon. Gentleman when he was Minister of Agriculture had done more to help beef production, there would not be the present shortage.

The Minister is dodging it.

asked the Minister of Agriculture, Fisheries and Food by how much the retail index of food prices had risen since November, 1969.

Between 18th November, 1969, and 16th May, 1972, the latest date for which information is available, the Food Index rose by 26·0 per cent.

Since the food price index has risen by 26 per cent. and the pension by only 20 per cent. since November, 1969, is the Minister aware that pensioners today have 6 per cent. less money in real terms with which to buy food than they had 2½ years ago? Is he further aware that by October 20p of the Government's proposed 75p rise will have been eroded before the pensioners receive it, yet in the Community food costs are expected to rise by 60p per week per pensioner? How can he justify so shamelessly selling the past for pensioners?

I cannot suggest how the hon. Gentleman can justify such a remark when he must appreciate that the figures cover at least part of the time when the Labour Government were in office. By next October the pension will have increased by 35 per cent. since November, 1969, which is a far higher in- crease than the increase in the cost of food or the cost of living during that period. It will more than restore the pension to the purchasing power of November, 1969.

:Is it not a fact that that last supplementary question was an outstanding example of bogus statistical nonsense since it was based, first, on a wrong percentage increase in pension and, secondly, on the supposition that pensioners spend the whole of their money on food, which is another piece of nonsense? Such bogus questions should not be asked.

It is also a reflection of the fact that hon. Gentlemen opposite may have forgotten that we have agreed to increase the pension annually, which has never happened previously and is regarded by pensioners as a great step forward.

Does the Minister agree that within this overall increase in food prices the price of bread during six years of Labour Government went up by three pence on an average loaf and that under the Conservative Government it has increased by four pence? How does he explain this growth rate and his part in it? Has he investigated how far monopolies and competition have affected the position and will he say what percentage of all bread sold here comes from the top three bakery combines?

To deal with the last part of the hon. Gentleman's question, the answer is that between 75 and 80 percent. is sold by the three combines. As for the way the increase has come about, it has been partly as a result of increased wheat prices, some of which has been due to the operation of the levy system, I freely admit. But most of the increase has come about because of increases in wages and other costs in the baking industry. I think we should do well to recognise that.

asked the Minister of Agriculture, Fisheries and Food what use of computers his Department intends to make in its calculation of future trends in food prices.

Computers are used in many aspects of the Ministry's work but have not so far been considered appropriate to the specific area mentioned by the hon. Member.

Is it not a fact that though price increases have taken place at such a fantastic rate, and because the Minister continues to give such jovial and rosy answers, matters have reached the stage where the only possible excuse that the right hon. Gentleman can use is an error of some kind in a computer programme? He cannot possibly maintain that he is personally making these calculations.

I had the feeling that the hon. Gentleman's Question might not be directed entirely to the use of computers and that there might be another meaning behind it. I am able to tell him that computers are used to try to forecast trends. Unfortunately the success of such a process depends very much on the information fed into computers, since that affects what comes out of them.

:Is the right hon. Gentleman aware that a computer is not necessary to demonstrate that the three-shilling loaf that the Prime Minister predicted under a Labour Government will be achieved under his own?

:All I can tell the right hon. Gentleman is that during his period in office we had four increases in bread prices, all of them supported by the National Board for Prices and Incomes.

Where is it now?

asked the Minister of Agriculture, Fisheries and Food by what percentage food prices have risen since June, 1970.

asked the Minister of Agriculture, Fisheries and Food, during the 23 months ended May, 1972, by how much percentage retail food prices have increased.

Between 16th June, 1970, and 16th May, 1972, the latest date for which information is available, the Food Index rose by 17·4 per cent.

Is the right hon. Gentleman aware that as a direct result of his policies millions of people are denied the basic commodities of life? Does not the right hon. Gentleman understand that, on the basis of his own recent statements, many of them regard him as probably the finest comic since Groucho Marx? Why does not the right hon. Gentleman pop along to the Prime Minister this afternoon to resign and thereby get off the backs of all of us?

:The hon. Gentleman does no good by the sort of language he uses to a cause which is worrying a great many right hon. and hon. Members on both sides of the House.

:Does not my right hon. Friend agree that the curve of price increases has flattened out a great deal during this year? Will my right hon. Friend give us a direct comparison between the rate of increase in prices during the six months ended May, 1972, with the six months ended May, 1970, which is the proper comparison in this context?

:There is still a long way to go, as we recognise. The figures for which my hon. Friend asks show that in the last six months from November, 1971, to May, 1972, the increase is 3·9 per cent.—

And going up.

:That is still serious enough. But compared with the six months from November, 1969, to May, 1970, which was the six-month period before the election and really was the start of this accelerating process, the figure was 6·8 per cent.

Is not the right hon. Gentleman aware that the Financial Times index for this month shows something like a 6·6 per cent. increase? The right hon. Gentleman should stop accusing hon. Members on this side of the House of using strong language when referring to basic prices when the right hon. Gentleman alone is responsible for the increase in the three basics of beef, bread and beer in the last month—or was that merely a "prior" commitment that we got before the election?

:Perhaps the news that I have just given will help right hon. and hon. Gentlemen on the Opposition side to be a little more sober in some of their remarks.

asked the Minister of Agriculture, Fisheries and Food what representations he has received with respect to the measures he has announced aimed at containing the recent increases in beef prices.

asked the Minister of Agriculture, Fisheries and Food what representations he has had from farming organisations regarding the limiting of beef exports; and what reply he has sent.

I have received a number of requests that exports of cattle and beef should be controlled. I have said that I am keeping the situation under review.

Surely even the Minister is aware that housewives are outraged at the present level of beef prices. Will he come clean with them and tell them that not only is he unwilling or unable to intervene to reduce these prices but that any reductions which may occur will be of a temporary and minor nature because Common Market beef prices are still higher than British beef prices?

Prices in the Community are now at about 120 per cent. over their target prices. If they come down, as they now show signs of doing to 113 per cent., the tariffs will have to be reintroduced. In that case, over the next succeeding five years tariffs will be phased out by one-fifth at a time. This gives us ample opportunity to adjust our prices, as the Government have said would happen, in the transitional period.

Is the Minister aware that many people, not least the farmers, regard what has happened over the last few weeks as merely a sample of what we can expect once we enter Europe? Though the farmers might welcome the idea, does not the Minister appreciate that housewives will be in utter despair, as was so well illustrated the other evening when the Minister met a well-informed housewife on television?

No doubt she was heavily prompted by the Labour Party, but I shall not go into that matter now. I turn to the serious point made by the hon. Gentleman. At the moment there is a free market operating in beef between this country and Europe, yet our prices are still about £3 a hundredweight lower than Community prices. This is very significant for the future.

Does not the situation show the need to increase home production of beef, and is this not exactly what my right hon. Friend has been doing during the last two years?

Yes, Sir. Every pointer over the last 18 months shows that we are now moving agriculture forward at a faster rate than at any time for a great many years, probably since the war. This is exemplified by the figures of calf slaughterings, by animals coming forward for calf subsidy and by the increase in the breeding herd. This is all very satisfactory.

asked the Minister of Agriculture, Fisheries and Food if, in view of recent policy changes in regard to meat prices and the increase in cost to the consumer, he will now introduce legislation imposing price control to protect the interests of the housewife and those employed in the retail and distributive trades.

No, Sir.

Is it not unfortunate that the Minister has no answer to give to a Question of this kind, and will not measures which exclude any question of price control be meaningless in dealing with the present situation? Does the right hon. Gentleman realise that his very brief answer gave the game away about Common Market legislation, because when we are in the Community not only will prices escalate even further but Britain's Minister of Agriculture will have no control over them?

:The last part of that supplementary question is not true and the hon. Gentleman knows it. As for the first part, calling upon me to put controls on the price of meat, I must point out that the Labour Government found this impracticable to carry out and I agreed with them.

Apart from any party political points, may I ask my right hon. Friend to look at the meat situation in this country which is very serious? The facts are that in Europe meat is selling on the hoof for £22 a hundredweight and is down slightly in this country, but there certainly is a meat shortage. Surely what my right hon. Friend should do is to make arrangements overseas to obtain long-term contracts. How does he explain the shortfall in red meat this year? Will he say whether rumours in the trade to the effect that there will be less red meat available this year than last year are true or false?

My right hon. Friend should do his homework. He would then know that there is nothing to stop meat coming to this country at the moment. We are entitled to take all available steps, but there is a world shortage of red meat. I can give my right hon. Friend the absolute assurance that home-produced red meat supplies this year will be more than they were last year, and that next year they will be at least 50,000 tons more than they are this year.

asked the Minister of Agriculture, Fisheries and Food if he will make a statement on the latest trend of beef prices at the wholesale and retail stage.

asked the Minister of Agriculture, Fisheries and Food if he will make a statement on the price of beef sold to the British housewife.

asked the Minister of Agriculture, Fisheries and Food what fall in beef prices has taken place since the removal of the 5 per cent. tariff.

Auction prices for cattle reached a peak at the beginning of the week beginning 5th June and last week were in the region of £1 per cwt. below the previous week. The price of United Kingdom beef on Smithfield has also eased and yesterday was as much as 4½p per 1b. lower than a fortnight before for hinds, and up to nearly a 1p per lb. down for forequarters. Information on retail prices suggests that these also have steadied.

I am grateful to my right hon. Friend for that reply which confirms that beef prices have long since "peaked out" and are stabilising at a better level for the housewife. Will he confirm three important points: first, yet again, that the rate of rise of food prices as a whole over six-monthly periods under Labour was far worse than it has been under the present Government; secondly, that in recent weeks a large number of key food products have either remained at the same level or fallen in price; and thirdly, and even more important, that the storm in the Socialist teacup about beef prices three weeks ago was an irresponsible attempt to alarm housewives unnecessarily?

:We have been through a rough time on beef prices—

You have.

—and housewives more than I. I feel very sorry for them at having to bear the burden in paying these higher prices. However, I do not think that the Opposition can take credit for the situation in that prices were rising far faster during their last six months in office than they are now. What is more, if the Opposition had done what they ought to have done for British agriculture we should not have been in the mess that we were three weeks ago.

:Was not the fall in beef prices due in large part to the resistance of the housewife in switching from beef to poultry and lamb, which in turn forced up prices of both those commodities? If this should happen in the Common Market, what is the outlook for the British housewife in buying beef if we are in the Common Market? It is very poor, is it not?

My hon. Friend must not allow his prejudice to get the better of him and in doing so he must not try to push up the price of poultry. It has hardly moved at all in the last three weeks, and it is about 5p a pound cheaper than it was two years ago.

I wonder whether the right hon. Gentleman would answer my Question. What fall in the rate of beef prices has there been since the 5 per cent. tariff was taken off?

So far the fall, if any, is very marginal. This is because it takes two or three weeks from the time the cattle are sold at auction for the beef to coming through to the retail trade. Secondly, it is a reflection of the fact that butchers did not put up prices by the full amount of the increased prices they were paying for their beef.

Does my right hon. Friend agree that the price of beef is still too high? I wonder whether he would give an indication that he would consider further measures if there were an increase? Does he think that the decrease will continue?

I have already given an assurance to the House on various occasions that I am watching the position on a daily basis. If I felt that there was a need for further action I should not hesitate to take it, but I see no reason for it at this stage. On the question of beef prices being too high, prices will only reflect the supply and demand situation, and I expect the supply situation to improve considerably during the next few months.

Does the right hon. Gentleman recall that the Labour Government held beef prices reasonably steady during a period of shortage when there was the worst foot-and-mouth epidemic in modern times? Is he further aware that he cannot claim credit for the increase in the breeding herd and at the same time refer to a three-year beef cycle?

Having looked carefully at the figures I should like to remind the right hon. Gentleman that in May, 1965, there was a seasonal increase in beef prices of over £1 a hundredweight. The fact that a foot-and-mouth outbreak occurs during the winter does not necessarily affect beef supplies coming forward in the early part of the summer.

asked the Minister of Agriculture, Fisheries and Food what further steps he intends to take in order to reduce beef prices.

asked the Minister of Agriculture, Fisheries and Food whether, having regard to the shortage of beef and the example of the United States of America in derogating from the policy of sanctions to meet special national needs, he will investigate the possibilities of importing beef from Rhodesia.

asked the Minister of Agriculture, Fisheries and Food whether he will make a further statement about supplies and prices of beef.

asked the Minister of Agriculture, Fisheries and Food if he will make a further statement on beef supplies.

The problems which arose earlier this month were the result of a combination of factors including a world-wide shortage of beef and seasonally low supplies of home-produced beef. The suspension of our tariffs on beef and veal has afforded our overseas suppliers duty-free access here as well as in the EEC. Developments over the last 10 days indicate that the market is settling down and prices have steadied. Adequate supplies of home-fed and imported beef are available; and there are good supplies of other meats too. In present circumstances I propose no further action. I am however keeping the situation under close and continuing review on a daily basis.

In view of that reply may we have a clear statement from the right hon. Gentleman that he regards the inflationary rates of pay to agricultural workers as in no way a cause of the recent high prices of beef?

I have never for a moment said that the rates of pay for agricultural workers are a cause of the high prices for beef.

:Is my right hon. Friend aware that in more than one sanctioneering black African State I have been regaled with deliciously tender, relatively cheap Rhodesian beef, and could not we have a cut off that joint?

That is not a question for me.

As it is more than likely that the world-wide demand for beef will continue to increase, does my right hon. Friend think that increased home production resulting from the encouragement which he has given to the industry will be able to counteract the falling amount of beef which may be available for us to import from the rest of the world?

I think we shall be able to get from our own farms increased beef supplies of between 50,000 tons and 60,000 tons a year over the next few years. This is greatly to the credit of the whole of the agriculture industry. If on top of that we can go in for an export trade. what is so wrong with exports?

:In his previous reply the right hon. Gentleman exonerated farm workers from increasing beef prices. Which section of workers is responsible? Whom does he blame?

The right hon. Gentleman knows that it is inflationary wage settlements throughout industry as a whole which have contributed more than anything else to increases in price. As regards the price of beef I have already said—and if the right hon. Gentleman had listened to my original reply he would have heard this—that it is a shortage of world supplies that has forced up prices.

asked the Minister of Agriculture, Fisheries and Food if he will list the powers he will possess if the United Kingdom becomes a member of the European Economic Community unilaterally to reduce the import levy on imported foods or prohibit export of home-produced food from Great Britain.

:The determination of import levies will be for the Community institutions, in which we shall participate fully. Article 34 of the Treaty of Rome prohibits national measures to restrict exports, but the Community has wide powers to deal with market disturbances.

Will the Minister confirm that we shall have no unilateral powers whatever in respect of either the matters contained in my Question or any others? Will he further confirm that any changes of policy must be unanimous with all Community members and that we shall have only a small voice in these matters?

That supplementary question shows how little the hon. Gentleman understands about the way the Com- munity works. It is true that we shall no longer be able to take unilateral action on a national basis, but we shall be able to play a full part in reaching decisions, which is something we have not been able to do in the last year or two and something which as regards beef is happening to us now outside the Community

:In saying that my hon. Friend is not aware of these matters, is not the Minister being somewhat arrogant? Has he not proved my hon. Friend's point by his own answer? Will he spend a little more time dealing with the dangers of the common agricultural policy to British agriculture and the consumer?

Just because farmers on the whole feel that CAP is a good answer to many of their problems, the right hon. Gentleman should not cry sour grapes when he has been proved wrong.

asked the Minister of Agriculture, Fisheries and Food if he will outline the preparatory work and market research being undertaken both by his Ministry and other organisations in respect of the potential market for exports from the United Kingdom of agricultural and horticultural products in both the existing and applicant countries of the European Economic Community; and if he will make a statement.

Assessment of market prospects is primarily a matter for individual industries and firms although my Ministry and our representatives in the United Kingdom delegation in Brussels and the other capitals are ready to provide all available information and advice. Work to assemble information on various aspects of agriculture and food production, consumption and trade in the Six and acceding countries is being undertaken by the National Economic Development Council and other official bodies and of course by commercial and industrial organizations.

In thanking my hon. Friend for that reply, may I ask him to take note of the urgent need to ensure that this information relating to potential export markets is relayed back to the individual producer and individual marketing organisation throughout the United Kingdom so that they in turn can make an objective assessment of the situation which they will face when we are in the EEC?

:Yes, my hon. Friend is right; this is an important subject. The information must be relayed back, and it will be. I hope that we shall have a very determined outlook on exports of agricultural products. Much work is being done to gather the right information about this subject.

asked the Minister of Agriculture, Fisheries and Food if he will make a further revised estimate of the effect on food prices of entry into the European Economic Community in view of the current level of beef prices.

asked the Minister of Agriculture, Fisheries and Food if a revised estimate has now been made of the rise in the cost of food consequent upon British entry into the European Economic Community.

It would not be practicable to revise the published estimate at short intervals to take account of fluctuations in prices of individual commodities.

Does not the trend in beef prices in Britain in the past year show what is to be expected in the Common Market, as high-cost agricultural production means higher prices in the shops and reduced consumption by ordinary people?

I have no reason at the moment to alter the figures that I gave to the House a few weeks ago on the actual difference between our prices and Common Market prices on the basis of the farm gate price. I stick to that.

Is the right hon. Gentleman aware that the Government have attempted to reassure pensioners by telling them that they will be protected from the increase in food prices when we join the Common Market? Today the right hon. Gentleman has repeated the Government estimate that prices will increase by only 2 per cent. If this is translated into money terms, which pensioners are interested in, and if allowance is made for the fact, which has also been pointed out today, that pen- sioners do not spend all their income on food, it means that the Government are prepared to try to reassure pensioners that an increase in their pensions of about 10p will fully protect them against price increases arising from entry into the Common Market. I do not think that pensioners will for a moment accept that.

Pensioners are not being asked to accept the assurance that the hon. Gentleman has mentioned. The official estimate of the difference between our prices and Community prices, or of adopting Community prices, is not intended as a forecast of what will happen to food prices over the next few years. It is intended merely to show the difference which will apply each year between our prices and Community prices.

What is the point of going in for a dear food policy?

It is not so much a question of going in for a dear food policy as of adopting a policy for food and agriculture which will enable Britain to produce far more food at home than it has done before and thus avoid some of the perils of the last few years.

Why does the right hon. Gentleman deny his own policy? His own policy was to try to achieve high prices. He will recall that he told us that the British people had been molly-coddled for too long on cheap food and that prices had to rise. This was his "prior" policy. What is his policy now?

Everything I said then is absolutely true. If we had had reasonable prices for agricultural production at the time I was making those remarks, we would not have got into the muddle we have got into as a result of that policy.

asked the Minister of Agriculture, Fisheries and Food when he expects to announce compensation terms for growers of apples and pears affected by entry into the European Economic Community.

This matter is still under consideration. My right hon. Friend will make an announcement as soon as he can.

Does my hon. Friend agree that it is now more than two years since the promise of compensation was first made to growers whose livelihood would suffer from the subsidised surpluses of the Common Market? We still do not know the basis on which the scheme will operate. Nor do we know the levels of compensation that will be paid. Indeed, we do not even know the compensatory levies to be applied from next year in theory. This continuing uncertainty can hardly help the industry. Will my hon. Friend urge that an early statement be made?

I understand my hon. Friend's concern. There have been a number of meetings between the National Farmers Union and my officials. My right hon. Friend is now considering the results of those meetings. We are all concerned about it, and my hon. Friend will have an answer.

asked the Minister of Agriculture, Fisheries and Food if his Department will sponsor a research team to investigate the cause of the death of trees, with particular reference to contamination by lead and other poisonous materials.

Contamination by lead and other poisonous materials is not a major factor in the mortality of trees and I do not think that additional research is necessary.

While I appreciate that answer and while I am aware that the Forestry Commission obviously is undertaking research into the preservation of softwoods in plantations, may I point out to my hon. Friend that there is real need of a detailed survey and research into the causes of deaths of trees in areas where they are mostneeded—in other words, in our towns and cities—the more so as we approach the national tree planting year?

I realise my hon. Friend's interest in this subject, especially in Plant a Tree Year. However, there are only isolated cases of this problem. It does not seem to be widespread. Certainly I shall look into specific cases that my hon. Friend may have in mind. They will be investigated.

Does the hon. Gentleman realise that his reply was very disappointing and complacent and that there are many poisonous substances in the atmosphere, notably sulphur dioxide, which have a terrible effect on trees in our cities? Will not the hon. Gentleman reconsider his original answer?

No. Research is being done by the Forestry Commission and by a number of universities. This is not a widespread problem. Again, however, if the hon. Gentleman has specific cases in mind, I shall investigate them.

asked the Minister of Agriculture, Fisheries and Food when he last met representatives of the Food Manufacturers Federation.

I met many of the federation's members at a luncheon in April, and I have since had discussions with a number of leading food manufacturers associated with the FMF. I shall have an opportunity to meet most of its executive committee informally later this month.

Is not the right hon. Gentleman aware that week after week millions of people are being fleeced by price increases which cannot be justified because many of the items that are being increased in price are already in the shops? Because of that, someone must be making a huge profit. Is it not the right hon. Gentleman's job to seek a meeting with the federation and explain how he attempts, or will attempt, to tackle this abuse which is lowering the standard of living of millions of people?

The hon. Gentleman is talking nonsense and he does his case no good by that kind of cheap exaggeration.

The right hon. Gentleman should go to the shops and see for himself.

If the hon. Gentleman is fair he will recognise that the food manufacturing industry has done a remarkably good job in the last year in keeping prices as stable as it has. In view of the difficult situation of world supplies, and also of wages and inflation in this country, I think that the Food Manufacturers Federation is to be congratulated on what it has been able to do.

One of the points which the Food Manufacturers Federation has made to my right hon. Friend is about VAT and purchase tax on food. May I ask my right hon. Friend to make representations to his right hon. Friend the Chancellor of the Exchequer that he should reconsider present Government policy in changing over from purchase tax to VAT on certain popular and widely consumed foodstuffs?

This is a matter for my right hon. Friend, but the products to which my hon. Friend refers have been reduced on two occasions in terms of purchase tax. We have halved SET. The operation of VAT on these foodstuffs will mean a further reduction in the burden of tax which they have to bear, but I shall consider what my hon. Friend has said and pass his comments to my right hon. Friend the Chancellor of the Exchequer.

asked the Minister of Agriculture, Fisheries and Food if he will ensure that the number of officials responsible for administering the quarantine regulations in connection with rabies is regularly reviewed to ensure that these regulations can be efficiently enforced.

Yes, in so far as it is within my right hon. Friend's power to do so, given that enforcement of these regulations falls mainly to local authorities and Her Majesty's Customs and Excise.

I congratulate those who do the job of keeping us safe from rabies. I ask my hon. Friend to do his best to ensure the completion of the putting into effect of the recommendations of the committee of inquiry into rabies. Will he take further steps to ensure that the public are alerted to the dangers, so as to discourage the folly of smuggling pets?

Yes, I am aware of this problem. There is a growing problem with contact with the Continent. We are studying the proposals that have been made by the committee of inquiry on rabies. My staff are already liaising fully with, and will advise, the local authorities and Her Majesty's Customs responsible for enforcement.

Will these regulations continue to apply if we join the Common Market?

Yes, indeed.

asked the Minister of Agriculture, Fisheries and Food what is the guaranteed price of barley in the United Kingdom for the coming year; what is the present market price; and how these figures compare with the present basic intervention price in the European Economic Community.

The guaranteed price of barley for 1972–73 is £31·20 a ton. The present United Kingdom market price is £26·73. The European Economic Community's basic intervention price is currently £40·51.

In spite of the figures that the Minister has given, is he aware that the Government policy of consistency to help the home farmer is so ridiculous that the farmer today does not know where he stands? Is the hon. Gentleman aware that barley in Britain this year is £9 per ton less than it was last year for the farmer and that this has a great impact on the earnings of a small farmer? How does the hon. Gentleman expect the small farmer to pay decent wages to farm workers if the Government's policy is as ludicrous as this?

The great thing about British agriculture at present is that farmers know where they are under this Government—[HON. MEMBERS: "Hear, hear."]—and the last two Price Reviews have shown this very clearly. Although the price will rise, it will rise gradually and the end price will rise to them as well. Mark my words, farmers know where they are.