Business of the House

Alan Reid Excerpts

Thursday 22nd January 2015 Commons Chamber

[Mr Alan Reid (Argyll and Bute) (LD)]

Dairy farmers in Argyll and Bute produce a very high-quality product, but the falling price of milk is causing them and the entire British dairy industry serious problems. May we please have an urgent statement on what the Government can do to help this iconic British industry to survive? Extending the scope of the groceries code adjudicator to include dairy farmers is one action that could help.

[Mr Hague]

My hon. Friend raises what is a very important issue in many parts of the country. I agree with what the Prime Minister said yesterday: legislation should be introduced to enable the groceries code adjudicator to impose a financial penalty. The Government are also considering the GCA’s remit, which is subject to a statutory review in March next year. We do understand the concerns of British dairy farmers about the current pressures on milk prices. The only good news is that, of course, exports have risen and we are giving dairy farmers the opportunity to unite in producer organisations, which in the longer term could give them greater clout in the marketplace.