Food Security

Baroness McIntosh of Pickering Excerpts

Thursday 27th November 2014 Westminster Hall

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

It is a great pleasure to welcome you to the Chair, Mr Hood, and to welcome my hon. Friend the Minister, the shadow Minister, the hon. Member for Ogmore (Huw Irranca-Davies), and colleagues on the Select Committee to their places. We are very pleased to have the opportunity presented by this debate. On a personal note, I represent what is probably one of the most rural constituencies in the country, not just the north of England, of which livestock production and farming form a vital part.

The Select Committee decided to inquire into and report on food security, looking at food production and supply, for a number of reasons. There are particularly challenging and changing—volatile—market conditions at the moment. The inquiry took place against the backdrop of “Horsegate”, as I shall call it for short. I am referring to the adulteration of food with horsemeat that took place. Also relevant are the current global economic conditions, as witnessed by the sanctions against Russia, and the emerging markets—new markets—in China and elsewhere. Also, after a brief visit to Brussels last week, a number of us are better informed about how the European market is changing, with the removal of quotas for milk and the sugar regime facing change as well.

I should like to highlight one or two of the main aspects of the report and to thank those who contributed to the inquiry, which we launched in October 2013. We received 50 written submissions and, earlier this year, held five oral evidence sessions. We are grateful to all those who contributed.

Obviously, the farming—agricultural—and food sector is hugely important and successful. The food and drink sector is responsible for 3.7 million jobs and 7% of the overall economy. At the outset, it is fair to say that there is a danger of complacency. When we looked into food production and the supply dimension of food security, we found that complacency is a genuine risk to future UK food security. We want our food production and supply systems to be secure, in which case the Government and food producers must plan to deal with the impacts of climate change, population growth and increasing global demand for food, so what we are examining today are clear lines of Government responsibility.

We set out that at least three Departments are responsible for food security. They are the Department for Environment, Food and Rural Affairs, the Department for Business, Innovation and Skills and the Department of Energy and Climate Change. We asked, to ensure coherent planning and action, that the overall strategy be led by DEFRA, with a robust approach right across Whitehall. May I say, in again welcoming the Minister to his place, that I can think of no one better than him or his predecessors to take that role? However, he is particularly well placed, having served with such distinction on the Select Committee previously. I shall return to that.

In our report, we support the idea of sustainable intensification—producing more food with fewer resources—and we call on DEFRA to stem the decline in UK self-sufficiency and deliver more resilience in the UK food system. We note that the yields of key cereal crops—for example, wheat—have not increased for more than 15 years. The most conservative figures—I am a Conservative with a small c and a large C—are, I think that we can accurately say, the National Farmers Union figures, which I think are more recent even than the ones in our report. In 2013, we were running at only 60% self-sufficiency in food production; it was 62% in 2012. That is down from the height, in 1991, of more than 75%.

Clearly, the fact that self-sufficiency is on a downward spiral is of some concern. There are a number of reasons for that. We say that the biggest long-term challenge to food production systems is the impact of extreme weather events resulting from climate change, so we call for supermarkets to shorten supply chains to reduce the threat of disruption and for UK farmers to extend the seasonal production of fresh fruit and vegetables in co-ordination with the Agriculture and Horticulture Development Board and local and central Government. The Government must reduce dependence on imported soya bean for animal feed, as increased demand for protein from emerging economies threatens current supply lines.

The Government should also produce a detailed emissions reduction plan for the UK agricultural sector. If we are to curb emissions and adjust to climate change, we need a significant shift, potentially, in how the UK produces its food. Currently, livestock production contributes 49% of farm-related emissions, so we need more research to identify ways to curb that.

We need the better longer-term weather forecasts that successive Governments have worked on—I welcome that work—and more resilient production systems to cope with severe weather events. We particularly welcome the Government’s new £160 million agri-tech strategy to translate technological ideas into farm practices, but I shall add a plea on that. The current funding levels, as they were put to us, are insufficient and the time scale is very limited. When we visited the Rothamsted institute, we were told that the last two years of the five-year term are spent accessing and applying for the grants to ensure that the very valuable work that these research institutes are doing carries on. We looked at precision farming technologies as an example of good research but one that needs commercial partners to make it viable.

Let me deal with a number of these points in turn and against the backdrop of self-sufficiency going backwards rather than forwards. We are looking in the current inquiry at food security: demand, consumption and waste. We are about to report, we hope, on our second inquiry, which is about bringing food to market and actually to the table.

I welcome the fact that supply chains have shortened. I particularly welcome the excellent work done by Professor Chris Elliott in that regard. However, a number of issues remain. Looking at the UK food system within the EU and internationally, can the Minister explain the reasoning behind not having an individual such as him as the Minister responsible, with a specific profile for co-ordinating food security and food supply policy across Government? That would be very welcome. We spent considerable time, in the evidence that we took and in the conclusions that we reached, on the fact that that single development would make a major impact.

[Jim Fitzpatrick (Poplar and Limehouse) (Lab)]

I intervene only to reinforce the point that the Chair of our Select Committee is making, because this was one of our key discussions. Knowing how successful this Government have been in one or two other Departments where there are cross-departmental working parties, although mostly chaired by the Cabinet, does she agree that we did feel very strongly that the Minister at DEFRA should be the lead for any such joint working arrangement in government, because of the significance of food and agriculture and the need for that Minister to lead the rest of the Government on the policies that the hon. Lady is very ably outlining?

[Miss McIntosh]

I could not have expressed it better myself. Against the backdrop of self-sufficiency falling over the past 20 years, and potentially going backwards, we have BIS in charge of research institutes and DECC dealing with the climate change angle. The Committee was absolutely united on that powerful recommendation. We owe it to our witnesses and those whom we visited to extract an explanation from the Minister of why that was not deemed to be appropriate. If the Government would keep the matter under review, that would be very welcome.

The range of actions that the Government and others are undertaking to improve co-ordination is good, especially on cross-sector soils research. Will the Minister outline DEFRA’s plans for promoting the export of products such as apricots, which now have a longer growing season? How can the Department encourage other crop growers to extend their seasons? That would provide opportunities for further growth and more exports, which would build on the success that we have seen.

I would like to spend a moment on the common agricultural policy and greening issues. We heard evidence from the Secretary of State yesterday, and I am absolutely delighted that the Government are looking again at the three-crop rule. Having met the incoming EU Agriculture Commissioner last week, I believe that he is a potential ally who has a great understanding of and background in farming. The review of the CAP to which he has committed in 2017 is particularly welcome. The fact that the commissioner has said that food security is the Commission’s priority must give more grist to the Government’s mill and ensure that that remains the case. In the short term following the adulteration of beef with horsemeat, supply chains were made shorter, and that must be kept under review.

Farmers and NFU representatives have criticised the complexity of the CAP, which was meant to be simple. They have criticised in particular the effectiveness of the ecological focus areas. Does the fact that there will be an early review offer us an opportunity? What discussions are the Minister and the Secretary of State having with the commissioner on the potential for reviewing the CAP and introducing a swift review of problems such as the ineffective ecological focus areas and the three-crop rule? The higher CAP modulation rate in England will penalise our farmers more than those in other parts of the United Kingdom and the EU, so perhaps the Minister would be so good as to comment on that.

Turning to the UK’s international role, the Government said in their response to the report that they were collaborating through the Courtauld commitment on the challenge of reducing food waste, on which the UK is a world leader. They are looking at the matter in more detail and will respond further in due course. The Committee was struck by the fact that soya beans are the main feedstock for our animals, and that the supply is coming under increasing pressure because of competition from emerging economies. May I press the Minister for assurances that action will be taken to avoid any possible crisis in animal feed supplies? How are we encouraging alternatives to soya as a source of protein?

On the challenge of climate change, which may have an impact on farming and other industries, we have seen the latest targets and the framework from the EU. May I press the Minister on the outcomes that will be required from the 2014 to 2020 rural development plan, and from the expenditure under that plan on emission reductions? How will that impact on farming, and how will the Government ensure that the most cost-effective actions are taken first? I particularly welcome the soil protection work, but what outcomes does the Minister expect from the £5 million that has been put into soil security work and when does he expect to see them? When might he be able to report on that? What input is DEFRA having into EU soil protection work?

Our report’s core recommendation related to improving the resilience of supply chains. When we heard evidence recently from Professor Elliott, we were able to thank him in person for his work, and we are delighted that the Government have accepted all his recommendations. Shorter supply chains minimise the threat of disruption. In our report on food contamination, the Committee expressed concern about the length of food supply chains, and we welcome the work that retailers have done to reduce them. Where are we in relation to the cross-government group on food integrity? Where are we on labelling and traceability at an EU level? Will the Minister look kindly on a review of the groceries code and the adjudicator’s role, which currently makes no provision for an investigation without a formal complaint? Will that remit be reviewed and could it be changed? Will the Minister look kindly on the idea of introducing, as a matter of urgency, the statutory instrument that would empower the adjudicator to levy fines? It was something of a shock when we realised that such a statutory instrument had been neither laid nor adopted, so effectively the groceries code adjudicator has no teeth. Can the Minister tell us whether there an appetite in government to press for such a change, although I realise that BIS probably leads on that issue?

The Government response included a commitment to monitoring the agri-tech catalyst. How will that monitoring work and will it lead to action? Will the Minister elaborate on the findings? It is vital that we get a decision on genetic modification one way or the other. Will the Minister update us on progress at an EU level? We have looked at the matter, and I remain to be convinced on GM, but it is important that we have a framework at EU level.

The Government response said that both the Government and industry had started to address the findings of the future of farming review, especially in relation to new entrants to the industry, reducing bureaucracy and the red tape challenge. What more can the Government do to encourage new entrants, particularly young farmers, into the sector? It is no secret that the average age of farmers is relatively high compared with people in other walks of life and industries. Neither is it a secret that farming and fisheries remain two of the most dangerous industries. Farmers work in all weathers, sometimes using very complicated bits of kit. They work hard, against the elements and in the face of a constant stream of regulation, to bring food to our plates and to export as much as possible. I would welcome an update from the Minister on the Government’s plans to introduce more support for young farmers and the likely cost of doing that. How does he believe that we can entice young farmers and new entrants into the programme? One of the barriers to new entrants has to be the lack of broadband coverage in especially rural areas, and I know that we will have the opportunity to quiz the Minister about that separately.

I am very proud of our work on the food security report and I commend our conclusions to the House. I am concerned that we face the challenge of increasing food insecurity and a potential downward spiral of self-sufficiency. Lessons have been learned from “Horsegate”. We need shorter supply chains and to recognise the challenge of climate change and an increasing population, which works both ways, as there will be more mouths to feed and we are in a particularly good place to feed them. I would like consumers to be going out and buying British. I am particularly disappointed that a major retailer—I will not name it—has chosen to move away from the red tractor system. The red tractor is a symbol that food has been produced in Britain to the highest possible animal welfare standards and meets the farm-assured test. To move away from it is a retrograde step, and I hope that that supermarket chain will hang its head in shame and reconsider that decision.

We must increase self-sufficiency at home and increase opportunities to export. I welcome this opportunity to discuss the report, and I commend to you, Mr Hood, the conclusions that we have reached.

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[The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

It is a pleasure to serve under your chairmanship, Mr Hood. I congratulate my hon. Friend the Member for Thirsk and Malton (Miss McIntosh) on securing the debate. I also congratulate the members of the Environment, Food and Rural Affairs Committee on a comprehensive, rounded report that covers a wide range of issues, including self-sufficiency, whether we can improve and increase our exports, the role of the common agricultural policy, the impact of climate change, the importance of technology in agriculture and, finally, the role that reducing food waste can play in meeting our food security needs.

I will briefly set out the nature of the challenge that we face. As the shadow Minister pointed out, the Foresight report examined the issue of food security and concluded that by 2050 there will be a large increase in the world population. Some projections suggest that it could go to 9 billion. Projections suggest that that could lead to an increase in food demand of between 60% and 70%. Coupled with that is the impact of climate change, which means that parts of the world that can currently produce food may be restrained by water resources. Water could become a limiting resource, which would compromise the ability of those areas to produce food.

The Foresight report concluded in 2011 that we have a good level of food security in the UK. It also highlighted the fact that the issue is not just about self-sufficiency. In fact, self-sufficiency is in many ways—I will come on to them—the wrong measure to use for food security. Global food security depends on free trade as much as it does on sustainable production. The UK Government’s position is clear: we want a successful, vibrant farming industry and a sustainable increase in food production. We are doing a huge amount to promote exports and to try to open new markets for our products. We are also keen to deliver import substitution, particularly in dairy, where there is a great deal more potential for this country to manufacture and process more cheese. There are also export opportunities for sectors such as beef and lamb.

If we deliver that and achieve that sustainable increase in production, displace imports and grow our exports, we will of course increase our self-sufficiency. For reasons I have made clear, however, the production-to-supply ratio is the wrong measure for food security, because we could be completely food sufficient one year, but then have a dire harvest and find that we are not sufficient the next year. Part of global food security is therefore about having open markets and free trade.

It is also worth putting our level of self-sufficiency in context. Between the wars, in the 1920s and 1930s, our food security was only some 30% to 40%. At the start of the second world war and when in dire need, the country managed to switch production sharply to crops such as potatoes and got close to self-sufficiency. We can therefore change such things when we need to. As my hon. Friend the Member for Thirsk and Malton said, our overall self-sufficiency is at 60%, but our self-sufficiency in indigenous foods is still around 73%. That has stabilised in recent years, but it is down, as my hon. Friend said, from the peaks of the late 1980s and early 1990s. We must recognise, however, that a distorting common agricultural policy was driving unsustainable production at that time, and we do not want to return to that.

My hon. Friend also highlighted climate change, which is important in the context of global food security. It is clear that water will become a limiting resource in many countries, which is why some of the research that we are funding through our agricultural technologies strategy is on developing drought-resistant strains of wheat that will still be able to be grown in such countries.

We are also promoting the sustainable intensification of agriculture. Several hon. Members mentioned the green food project, which the Government took forward and published. A number of industry road maps also deal with carbon reduction. My hon. Friend also mentioned soya and its impact on the environment. It is worth noting that the pig sector has made quite good progress in reducing the amount of imported soya used for pig feed, which has contributed to a reduction in their carbon emissions. DEFRA also has greenhouse gas action plans, and we are working with industry to achieve cost-effective reductions in emissions of some 3 million tonnes of carbon dioxide by 2022. We are therefore doing several things to deal with the environmental impact.

Several hon. Members mentioned the report’s recommendation that DEFRA should lead on food security. The Government response made it clear that we agree with that, and that DEFRA should and does lead on food security. The Government were asked whether someone should be designated to deal with the issue. Well, I am standing here, which usually means that I am the Minister who has been designated to look after this matter.

[Miss McIntosh]

The Minister is being gracious in his response, which is most welcome. We want a co-ordination role and a cohesive, comprehensive approach, which he is well qualified to provide. He steps up and says that he is responsible for food security, but we want someone to co-ordinate policy across the three Departments.

[George Eustice]

I understand that. I think that we do have that co-ordination, but I lead on food security. We also need co-ordination on science, because science will have many of the answers to the challenges we face.

Several hon. Members mentioned the Global Food Security programme, which was set up to co-ordinate food-related research. It is led by Tim Benton, whom the shadow Minister mentioned, and deals with joining up research in a number of areas, looking at how to improve resilience and the sustainable production and supply of food. It also considers nutrition, health and well-being. That programme is co-ordinating and joining up much of the specific, tailored research in this area. DEFRA is also looking more generally at whether we can co-ordinate more effectively all the various research bodies to reduce duplication and increase focus on research and its effectiveness.

My hon. Friend the Member for Thirsk and Malton mentioned the importance of waste, an issue that the second part of the Committee’s food security report considers. The Under-Secretary of State for Environment, Food and Rural Affairs, my hon. Friend the Member for North Cornwall (Dan Rogerson), is present for the next debate and waste is generally an issue that he covers, but it is important to recognise that, through the Courtauld commitment and the work of organisations such as the Waste and Resources Action Programme, we have already made good progress on reducing food waste. Household waste is down by some 15%, and we have reduced waste in the supply chain by some 8% and aim to reduce that further.

I want to touch on the importance of technology. Together with the Department for Business, Innovation and Skills, we have an agri-tech strategy and a £160 million fund, £90 million of which is a catalyst fund to support projects in order to accelerate the transfer of knowledge into farms. Another part of the fund is designed to create centres of excellence in science and food technology.

On long-range weather forecasts, I chair a farm resilience group that meets every six months and will be meeting again in the new year. The Met Office is represented in the group, and we regularly discuss how to improve weather forecasting for farmers. DEFRA has also funded a project to examine our flood resilience on the east coast, and, in addition to some other international collaboration, we are doing some work with the Foreign and Commonwealth Office and the US Government to understand the impact that extreme weather can have on global security. We are conscious of the weather’s impact and want to improve our forecasting.

My hon. Friend the Member for Thirsk and Malton and others mentioned the soft fruit industry’s success in extending its season. Our production-to-supply ratio for strawberries has increased from some 60% to 70% just in the past decade or so. I was in the soft fruit industry myself some 20 years ago, and some of these things are not as new as some people say. In Cornwall 20 years ago, I was producing strawberries in heated glasshouses from the end of March right through until Christmas. We used to pride ourselves on having strawberries from Easter to Christmas. The advent of Spanish and French-style polytunnels has given more protection to such crops and has enabled a more widespread extension of the season. My hon. Friend also mentioned apricots, which are indeed now grown in the UK under temporary polythene structures.

I agree with my hon. Friend on the importance of reforming the common agricultural policy. The Government argued against the greening measures in pillar one and were clear that it should be kept as simple as possible, and that the best way to deliver for the environment was through our highly successful agri-environment schemes and pillar two. I can confirm that the Secretary of State for Energy and Climate Change has written to new Commissioner Hogan, with whom I spoke last week. The European Commission is certainly open to the idea of reconsidering some of the greening requirements, and possibly even reconsidering in the mid-term review the idea of the three-crop rule or how it is applied. We have worked with our allies in the Stockholm group of countries, which argue for reform of the CAP and the European Union, to reach a common position to argue for the simplification of the CAP. We hope to make some progress on that next year.

My hon. Friend the Member for Thirsk and Malton mentioned soya beans, and I have already touched on the fact that the pig industry has been particularly successful in reducing the amount of soya bean that it uses. The other thing to note is that one possible impact of the greening of pillar one—of which, I repeat, we were critical—is that in order to reach the three-crop rule some arable farmers may grow leguminous crops such as broad beans to count towards both their third crop and their ecological focus areas. Potentially, we could see an increase in the production of broad beans and other leguminous crops, which might then displace soya imports.

My hon. Friend also mentioned soil protection. Under our cross-compliance regime, we will scrap the need for a soil protection review, which is only a paper-based exercise that people go through and tick boxes. It does not mean much and is simply an administrative task, and we are replacing it with something much more meaningful. Where we know about soil management challenges on farms or inappropriate management of the soil having an impact on water courses, for example, we want to put in place meaningful measures to deal with that. We are completely overhauling cross-compliance in that area.

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[Miss McIntosh]

I thank the Minister, but I hope he will respond to the challenge from the team and the shadow Minister to have more confidence, to step forward and to co-ordinate—not just to lead, but to co-ordinate. On that positive note, I congratulate him on his response.