Agriculture Bill

Debate between Lord Grantchester and Baroness Scott of Needham Market

Report stage & Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard): House of Lords
Thursday 17th September 2020 Lords Chamber

[Baroness Scott of Needham Market (LD) [V]]

My Lords, in 2016, before the referendum, I chaired the EU Energy and Environment Sub-Committee. We carried out an inquiry into resilience in agriculture, so I can say from the beginning that I agree with the noble Lord, Lord Carrington, that insurance is quite often not an appropriate solution for farmers, however it might appear to be so superficially.

Having said that, I find these amendments somewhat problematic. I will explain why. First, it is because the Bill as drafted talks about the disturbances being acute. The amendments would add “chronic” to the description of the disturbances, but all the interventions have been about the results of that disturbance. To my mind, that is quite an important distinction, because you could have a short-term problem with a long-term impact. I am not clear whether, as drafted, this talks about the original problem or the impact.

I am also genuinely unsure why existing provisions are not good enough. I heard with some interest what the noble Baroness, Lady McIntosh of Pickering, said, so I look forward to the Minister clarifying that, but this is one area where I feel the Government have farmers’ backs in the event of these sorts of disturbances. I do not recall seeing anything from the NFU on this so I am not sure it regards it as a big issue, but perhaps when he winds up the noble Lord, Lord Carrington, will enlighten me on that.

I am reassured that the amendment would provide a power, not a duty, because a duty to continue to offer support for a “chronic” disturbance could be for years and years. I do not think that would be appropriate; I would be pleased to see it as a power and not a duty. Nevertheless, the Government can move quickly when they need to, as they did in bringing in the furlough scheme, for example. I am not entirely convinced by these amendments, I am afraid.

[Lord Grantchester (Lab)]

I thank the noble Lord, Lord Carrington, for returning to the subject of crisis management in his amendments. The clauses in Chapter 2 bring further into domestic legislation the powers that the European Commission exercised to provide emergency assistance in extreme market circumstances. The Secretary of State may modify the retained direct EU legislation from the withdrawal Act. This would usually involve intervention on storage. At this stage, once again, as I join another day’s proceedings on the Bill, I declare my interest as recorded in the register as being in receipt of funds from existing systems derived from the CAP.

We noted the Minister’s reply in Committee that

“farmers already manage the effects of fluctuating everyday weather conditions”,

and that the existing powers contained here and elsewhere

“are sufficiently broad to ensure that agricultural producers will be covered”

should it be necessary to provide emergency financial assistance

“due to exceptional market conditions”—[Official Report, 21/7/20; col. 2184.]

brought about by unforeseen economic, environmental or welfare factors.

The term “chronic conditions” is interesting, as this would suggest exceptional circumstances becoming endemic and longer lasting. This would suggest that the market would need to adapt on a wider basis after any exceptional market disturbances caused by economic or environmental factors had been provided. It would suggest that the adverse effect on the price achievable for agricultural products may not return to normal. This circumstance would become subject to far more extensive dialogue and analysis, and when such a situation may warrant the actions wanted by the noble Lord, Lord Carrington, needless to say it would be controversial and subject to much debate.

We understand that Welsh Ministers are aware of these details and have not drawn attention to any aspect with which they are uncomfortable. The Minister has advised the House that the Welsh Government have agreed to these provisions; that would be our position also. We are generally content with the current drafting. I thank the noble Baroness, Lady Scott, for her remarks, which reflect many of our thoughts.

--- Later in debate ---

[Baroness Scott of Needham Market (LD) [V]]

My Lords, I had an exchange of emails yesterday with the noble Lord, Lord Empey, to make sure that I understood his amendments correctly. He basically put it to me that he wishes to place an obligation on government rather than for it to have a discretion, which is as the Bill is drafted, to make regulations on fair dealing. I have told him that I support the fair dealing provisions in the Bill—I said so in Committee—particularly with regard to food waste, which is often in effect forced on farmers, making them less competitive and environmentally more wasteful, by the requirements of supermarkets, which I do not think is fair dealing. I am all in favour of that, but I am less convinced about the placing of such an obligation on Ministers. However, these issues can be well discussed in the next set of amendments, about the role of the Groceries Code Adjudicator.

[Lord Grantchester (Lab)]

I thank the noble Lord, Lord Empey, for his amendments, for the significance in which he holds them as necessary for the Bill, and for leading the House in returning to Clause 27 on fair dealing obligations. I am sorry he has not been able to stay tonight to make his case due to personal circumstances, and I hope all continues well. Nevertheless, I thank the noble Baroness, Lady McIntosh, for stepping in and moving his amendment. I concur with much of what she said. The distribution of market returns from food between the primary producer and the rest of the supply chain, especially in regard to the retail sector, certainly appears unbalanced. The proportion returned to the farmer has steadily declined over many years.

That regulation is needed to ensure further provision to introduce a greater measure of fair dealing obligations on the supply chain is recognised in Clause 27. Following the establishment and workings of the Groceries Code Adjudicator, the specific task of monitoring relationships between the UK’s largest supermarkets and their direct suppliers has proved very effective. I would go so far as to say it has proved critical in delivering effective change down the supply chain.

We would not be able to support the noble Lord should he wish to press his amendment. The specific details of each statutory code are being developed in consultation with industry and will be set out in secondary legislation. It will be extended across all sectors of agriculture. This is already in progress.

Agriculture Bill

Debate between Lord Grantchester and Baroness Scott of Needham Market

Committee stage & Committee: 7th sitting (Hansard) & Committee: 7th sitting (Hansard): House of Lords
Tuesday 28th July 2020 Lords Chamber

[Baroness Scott of Needham Market (LD) [V]]

My Lords, I confess that I have some sympathy with the Minister. He is universally admired and respected in this House but he faces a weight of opinion that I have rarely seen in my 20 years in the House of Lords. Members from all Benches and from right across the UK, including some of the country’s leading experts in their field—backed by the NFU, a coalition of more than 20 environmental and animal welfare groups, the British press and more than a million signatories to a petition—have major concerns about standards going forward after Brexit.

However, I have no sympathy at all with the Government, who profess to have an absolute, unwavering commitment to standards but refuse to put them in the Bill. If they thought that the creation and announcement of the Trade and Agriculture Commission was going to be a sop to noble Lords, today should have disabused them of that idea. As the noble Lord, Lord Curry, highlighted, this body is advisory only. If ever there were a time when we should have the lessons of advisory bodies foremost in our minds, it is now, when we have the recent experience of SAGE.

A number of noble Lords asked why the commission has been set for only six months. As the noble Lord, Lord Cameron, said, we are likely still to be negotiating trade deals in three to 10 years’ time.

Among many others, the noble Lords, Lord Trees and Lord Cameron, and the noble Baroness, Lady McIntosh, raised issues such as good husbandry and the way in which poor husbandry elsewhere can be used to undercut British farmers. They highlighted important issues, such as stock density and the overuse of antibiotics.

The noble Lord, Lord Krebs, and the noble Baronesses, Lady Young and Lady Boycott, highlighted the question of where this cheap food is likely to end up and suggested that it will be with the poorest in our society. I think that they are right. No one should have to choose between their health and conscience on one hand and their budget on the other. These standards should be guaranteed for everyone.

Many noble Lords commented that this is the most important sets of amendments that we face. I agree: they are important in their own right but they are also important when it comes to thinking about parliamentary sovereignty. It is of course correct that Parliament did not approve, or even properly scrutinise, trade deals negotiated on our behalf when we were members of the EU, but that was entirely our decision; other member states chose to do it differently. Now, having apparently taken back control, the Government still see no role for Parliament in negotiating future trade deals, including on the important issues that we have debated today and despite the enormous public interest in relation to not just food but health, environmental and safety standards.

In recent weeks, we have heard a lot about how these commitments are enshrined in the Conservative manifesto. Manifestoes are meant to be an indicator of the Government’s legislative programme—they are not an end in themselves. The noble Baroness, Lady Humphreys, commented that this is a question of trust in government. I absolutely agree. The Government have a problem here because they are telling business that, post Brexit, there will be a deregulatory bonanza and the creation of Singapore-on-Thames, yet in this regard, we are supposed to believe that these protections and such regulation are absolutely guaranteed. For many people, that is not credible, which is why we need something guaranteeing these standards in the Bill. My party has consistently called for the retention of high standards for food, the environment, safety and animal welfare after Brexit. We seek to ensure that this Bill and others will protect UK consumers and UK farmers.

The Minister has quite a job ahead of him on Report.

[Lord Grantchester]

This has been another very good debate on a key issue in the Bill. I thank all noble Lords who spoke on these amendments, which cover the key variances in opinion on approaches to food standards.

Amendment 276 in the name of my noble friend Lord Hain, which other noble Lords have signed, is essentially the amendment proposed in the other place by Neil Parish and others. Unfortunately, that amendment was defeated. I spoke on this in regard to my Amendment 271, which answers various deficiencies that that amendment encountered. However, I am very grateful to my noble friend for his remarks on the amendment, as he underlined the huge support that it secured with so many of the industry’s representative bodies, including the National Farmers’ Union.

If I may, I will group together Amendment 273 in the name of the noble Baroness, Lady Jones of Moulsecoomb, which other noble Lords signed, and Amendment 278 in the name of the noble Lord, Lord Empey, which the noble Lord, Lord Wigley, signed. Both approach the issue of food standards from the position that, after IP completion day, existing UK standards must not be undermined. Amendment 273 underlines the importance of equivalence of standards protecting food safety, the environment and animal welfare. It is clear in its objectives but, unfortunately, it does not provide for how this process will be conducted or implemented, including how the ratification—or denial of ratification—of any international trade deal will be endorsed or refused.

Amendment 278 specifies that the Secretary of State must produce a register of UK production standards, against which agricultural goods must be assessed, which must be updated annually. I do not know whether this is necessary when there is a statute book, or how this process will be judged. I thank the noble Lords, Lord Bruce and Lord Wigley, for Amendment 280, which is focused on the situation should the UK Government not conclude a satisfactory agreement with the EU in time. It requires that the Secretary of State report to Parliament on the impact of this on the beef and lamb sectors. There have been many debates on the no-deal Brexit situation and its impacts. Even after the Government’s announcements on the temporary tariffs that would apply in that situation, I share the amendment’s concerns. However, I remain confident that there will be an agreement between the UK and the EU in time.

A food and trade commission has been proposed by the National Farmers Union for some time. While we can support such a commission, it does not replace our Amendment 271. Depending on its terms of reference, membership and powers, it could become a welcome means to monitor ongoing improvement in food standards and production standards equivalence in all future trade deals, but only as a second step, having secured the importance of the provisions enshrined in Amendment 271. There was always an apprehension that any food and trade commission would just continue anxiety about whether it will be effective in maintaining the UK’s production standards.

I thank the noble Baroness, Lady McIntosh, who led on Amendment 270, and the noble Lord, Lord Curry, who spoke in support of the NFU’s Amendment 279. I have great regard for the comments of the noble Baroness, Lady McIntosh, coming as they do from a former chair of the important Environment, Food and Rural Affairs Select Committee in the other place. I also greatly appreciate what the noble Lord, Lord Curry, has achieved over many years. I have attended many conferences where he has spoken and have sought his advice on one or two issues in the past. However, both speakers struggled to reconcile their amendments’ proposals with what has now been set up. It was rather confusing: were they really promoting their amendments? On this side of the House, we would not be able to support the present proposals, or able to welcome the version of a food and trade commission launched today. That is a very disappointing position to be in.

The noble Lord, Lord Curry, spelled it out himself: it is not permanent and it does not follow any legislative step to enshrine UK standards. It is not independent; it is merely advisory. It has no formal powers and does not envisage any role for Parliament. His amendment makes no provision regarding wide representation of the many interests that need to be included on any commission. The obvious omissions of consumer interests, animal welfare and environmental organisations and others, have resulted in a crescendo of objections following the announcements. The British Veterinary Association, the RSPCA, Greener UK and Which? have all issued statements of disappointment.

This puts the National Farmers Union and proponents of the commission in a difficult position. Do they withdraw their amendments? They will feel embarrassed in farming circles. We do not need another talking shop for the NFU and its sister organisations in the devolved Administrations to debate for a few months. How does this differ from the trade advisory group that the noble Lord, Lord Purvis asked about? We need decisive and independent scrutiny, after having secured provision for our position. The co-operation between the commission proponents and the Government is interesting. Will the Minister confirm whether Amendment 279, in the name of the noble Lord, Lord Curry, was drawn up with his department’s help before it was agreed with the NFU? I understand that his department was taken aback when the Department for International Trade seized it as a method to buy off Back-Bench Conservative dismay at the Government’s position, so that Neil Parish expressed anxiety at the department’s approach to food production standards.