Cost of Living: Support for Farmers

Alyn Smith Excerpts

Tuesday 12th July 2022 Westminster Hall

[Alyn Smith (Stirling) (SNP)]

It is great to see you in your place, Mr Hollobone, and I warmly congratulate the hon. Member for Rutland and Melton (Alicia Kearns) on bringing forward this very important issue. I will never tire of stressing the importance of farming and agriculture to all our lives, never mind to all our constituents and constituencies. It is also important for us to recognise the severity of the crisis that farmers are all facing.

If you ate today, thank a farmer. Farmers are fundamental to our existence as a species, never mind as a society. What they do is integral to how we see our land, how we steward the animals on it, the quality of our water and where people live, and it is vital for vast chunks of the four nations of this Union.

Agriculture will always be close to my heart. I served very proudly on the European Parliament’s Agriculture Committee for the best part of 15 years, designing the current common agricultural policy. I represent the Stirling constituency, which is the size of Luxembourg and has some of the best—and, indeed, some of the worst—farmland in Scotland, and I am proud to work with and for Scotland’s farmers and growers.

In all our countries, agriculture is a hugely sophisticated, science-intensive, innovative business. In Scotland, it employs 67,000 people directly and supports a further 320,000 people, with a gross output of £3.3 billion annually, as well as producing the food we eat, which is quite important.

Of course, agriculture is largely a competence of the Scottish Parliament. We have made several different decisions where necessary, but many of the issues that our farmers face cross borders within this Union, but also on a far wider, global scale. Many of the ideas we need to share are things we need to work on together. We are in a crisis, in Scotland, England, Wales and Northern Ireland. Farming is in crisis right now, and we need to be real about it—we need to be serious.

Many policy levers are reserved to this place. I am talking specifically about trade policy, competition policy, procurement policy—especially in the light of the passing of the United Kingdom Internal Market Act 2020—energy policy in part and, ultimately, budgets as well, given the financial situation of the current devolution settlement.

The Scottish Government are taking this seriously, and we would like to do more. The EU is taking this seriously, creating a £1.5 billion crisis fund to support EU farmers. I am calling on the UK Government to do more and am pledging my support for anything that helps farmers anywhere. Now is the time to put our differences to one side and to focus on where we can make a difference to the people we all serve. That is not to say I am putting them aside forever, because that might be part of the solution from our perspective. I suspect we will come back to that point.

Food security has to be viewed as—from the contributions in the debate I think we agree on this point—if not part of our national security, then certainly as part of our national resilience, however nationalis defined. As we face a summer of increasingly high temperatures and possible drought, we need to be serious about where our food is coming from and how it is produced.

We are all agreed we need to support farmers. The best way to support their incomes is to ensure profitable market return. That is my first point about UK Government policy. Too many farmers find that the market is stacked against them. There are many ways that we could boost demand, including through increasing local, domestic demand. That could be more money for buy local, buy Scottish, buy British schemes. There have been a number of good examples and now is the time to put more resource to that. There should also be more support for quality schemes, such as run by Quality Meat Scotland north of the border, and various farm assurance schemes elsewhere. We are seeing some farmers walking away from those schemes, which is deeply regrettable because consumers want local food produced to high standards.

Procurement policy is one area where I might agree there could be a benefit of Brexit. I have struggled to find many, but this might be one. I can point to parliamentary questions I have asked in Brussels and Strasbourg where the European Commission said, quite explicitly, that carbon emissions could be used as a procurement criteria, boosting local procurement of food, however local is defined. Even within the EU that was possible. Surely, outwith the EU, there is now lots more that could be done through procurement policy to boost local demand for agricultural products, providing a better market for our farmers.

Ensuring a fair market also needs more attention on monopolies and opaque markets. I think particularly of supermarkets and the fertiliser sector. We have a supermarket regulator. That regulator needs far more powers and far more teeth to do what needs to be done.

Market conditions are pressing for farmers. We particularly need action on input costs. There is a need for temporary support and the Scottish Government are looking at various ways of taking that forward. This is an opportunity for the whole of the UK to support farmers. Fuel, fertiliser, labour and feed are all going up at unsustainable levels. Farmers need help now.

On fuel, there is already red diesel support, but we need gas support as well. As we have heard, many farm holdings are off-grid and are becoming increasingly expensive. On fertiliser, there is a clear need for market intervention and support for fertiliser costs. On labour, there is the seasonal workers scheme and we need action on visas to allow more people to help with the work. Many costs have gone up 25% to 45% in recent times. That is absolutely unsustainable for working an agricultural balance sheet. There is a strong case, which I appreciate is outwith the Minister’s remit but I make the suggestion constructively, that we could find ways in which to support those points, including through soft loans and loan guarantees.

Agricultural policy is entirely distinct between Scotland and England, and I am glad that we have made the decisions we have made in Scotland, especially to maintain direct payments. During the current period that is a great safety net for Scottish farmers and I urge the UK Government to revisit that, although that it is a competence outwith my remit.

We also need to see policy coherence over land use. Photovoltaic plants and rewilding have been mentioned, but I would add forestry to that discussion. It is right that we see competing land use purposes, but we must agree that food has to come first. Anything that cuts across food production needs to be deprioritised. I am not hostile to any of the things mentioned, but when I was on the Agriculture Committee of the European Parliament, the intention was to see the bits and parts of unproductive land go to those purpose. Surely it cannot make sense to take prime agricultural land in any of our countries out of production.

We have already had many happy adventures with the Minister about our difference of opinion on trade policy. I am not hostile to trade deals with countries on the other side of the world, but I do not want to see those trade deals undercut domestic food production. Putting that to one side, the closest, biggest market to the UK is the EU, in both directions. Our farmers are struggling with particularly sticky customs routines and the phytosanitary and veterinary checks. I was in Brussels two weeks ago, and it is quite clear that there is a huge appetite for a specific veterinary and phytosanitary agreement with the UK that would help all our farmers to export and import, freeing up production and hopefully lowering prices. That is on the table in Brussels; it needs to be taken forward by a Government that is going to take this, and indeed international law in Northern Ireland, seriously.

It is a pleasure to sum up in this debate. There have been several good suggestions for the Minister to take forward to her colleagues. Where there are sensible suggestions to take forward for the benefit of all our farmers, I will work together with colleagues to make that happen.

Food Security

Alyn Smith Excerpts

Thursday 31st March 2022 Westminster Hall

[Alyn Smith (Stirling) (SNP)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I also pay tribute to my hon. Friend the Member for Edinburgh North and Leith (Deidre Brock) for securing this important debate, which has never been more timely.

The hon. Member for Tiverton and Honiton (Neil Parish) and I have been banging on about food security for the best part of two decades, as we were both Members of the European Parliament’s agriculture committee. I was looking through the always informative and excellent newspaper, The Scottish Farmer, and came across this quote:

“‘Last week’s events really brought home the fragility of the world we live in and our over-dependence on potentially disrupted…transport links,’ said Mr Smith”—

I am quoting myself here.

[The Minister for Farming, Fisheries and Food (Victoria Prentis)]

Has it really come to that?

[Alyn Smith]

It is great to see a fan of my early work.

“I believe the UK government authorities have been far too complacent about the security and stability of our food supplies…assuming that international transit networks and foreign sources of supply will never fail.

Last week was the mother of all wake-up calls.”

I said that in The Scottish Farmer on 29 April 2010, talking about the Icelandic volcano. However, I am afraid that the sentiment still applies and the lessons remain largely unlearned by the UK Government. I do not necessarily criticise our Minister in the Chamber but we all—all of us, collectively—must get food security far higher on our agenda. The lessons need to be learned.

I hope that I have proven over the years, that I am cross-party; I believe in consensus, and in working with other parties. I do not fabricate disagreement where there is none, but, damn sure, we disagree on food. We have a different sense of where we want to get to. We also have a food emergency on this Government’s watch, and we urgently need to change course. I implore the Minister to take my suggestions seriously, because they are made in good faith.

Things have got worse in the last 20 years. The latest figures show that the UK’s food self-sufficiency has gone from 80% to below 60%. Of course, we cannot and should not produce everything, but our food supply is under unprecedented strain. I believe that food security should be viewed as our national security is, and given the same urgency and priority within Government. Anything that undermines food production, however well intentioned, should be viewed with extreme scepticism.

Food production must be the basis of the rural economy. Only profitable food businesses can form the bedrock of our rural economy. No amount of tourism, birdwatching or tree planting can replace it. Those are all important, but they are add-ons, not the basis or bedrock of our rural economy.

[Kirsten Oswald]

The points that my hon. Friend is making are extremely important, and really underlie all the reasons why the debate is so important. Is he aware that evidence suggests that in just over six decades, globally, over 30% of arable land has been degraded due to human-induced activities? The point that he is making is one that the Minister and all of us need to focus on.

[Alyn Smith]

I am grateful for the intervention. That is a very important point. There will always be conflict over land use; there will always be competing purposes, and we must be aware of the perverse incentives to take prime agricultural land out of food production. That would leave us more vulnerable to international shocks and not more resilient. We must put food production far higher on our agenda.

We have seen action after action that has made farming more difficult because of political decisions. The sector was already reeling from Brexit and covid, and now the dreadful events in Ukraine have every single light on farming’s dashboard flashing red. The input costs for feed have gone up, and supply is becoming more difficult. Fuel costs—red diesel and gas—are all going up. Fertiliser costs are rocketing. Labour shortages are real, and are increasing costs—in fact, I would be grateful for the Minister’s comments on the increase in the hourly wage to £10.10 an hour for seasonal workers, because that also increases costs, already, with labour shortages. Finally, UK trade policy—which always puts the interests of farmers first, but it is a shame that those are farmers in other countries—is weakening our food production domestically.

The SNP’s position is clear. It is a discussion for another day, but we have a clear agenda that we want to achieve: we want to get back into the European Union, the single market and the common agricultural policy. We think that would be far and away the best solution to support agriculture. In the last couple of weeks the EU has just announced a €1.5 billion support fund for farmers. The UK needs to match that urgency and priority, but other things need to be done, too.

In Scotland we have maintained pillar 1 payments and the drift of policy in England is regrettable and needs to be reversed. I would like to see pillar 1 payments retained and reintroduced as policy, or, if not as policy, as an emergency measure to get farmers through the crisis. We need to reduce red diesel duty to zero and address energy costs via a price cap on input, and we urgently need to review immigration policy to ensure labour supply. I urge the Government to consider loan guarantees along the lines of the covid support for agricultural businesses that face a short-term—hopefully—crisis in their cash flow. We need to prioritise agriculture in future trade deals, and anything that undermines indigenous food production must be viewed with scepticism. We need to see proper scrutiny of supermarkets and the role of multiples in the supply chain.

My heart goes out to the people of Ukraine. Our interdependence and international solidarity have come into sharp relief lately, but so has our lack of resilience. That lack of resilience and the social consequences of rising food costs are affecting every community that we all represent. If the Icelandic volcano in 2010 was a wake-up call, the events in Ukraine show that our resilience must be prioritised more, and food production must be at the heart of that resilience. There is lots that we can do, and I will work with anybody to help promote that agenda.

Fisheries Bill [Lords]

Alyn Smith Excerpts

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Tuesday 13th October 2020 Commons Chamber

[Cherilyn Mackrory (Truro and Falmouth) (Con)]

I will try to speak clearly with my new self-imposed time limit. It is a pleasure to follow right hon. and hon. Members, particularly the hon. Member for Angus (Dave Doogan), and here we are going straight back down the line to Cornwall, which just shows what an important issue this is for the whole United Kingdom.

Despite being the great-great-granddaughter of a Scarborough fisherman, I had no idea as a young girl that I would grow up to become a Cornish fishwife, but here I am. Actually, I am very proud to be so. It is a privilege to be married to a fisherman, because it gives a great understanding of what a scary but wholesome living it is. It is absolutely necessary for the health of our nation. I mentioned in my maiden speech some time ago how precarious a living it is, especially when one is on the end of the phone and the weather turns and they cannot get back, so I will not go into that again.

One thing I have to say is that the fishing industry does not speak with one voice, and that is important to remember. To stand up for the fishing industry means giving our fishermen their voices back, and that is what this Bill absolutely does. It takes a first important step, and that is what we have to remember about this framework Bill.

I will speak briefly to the amendments. I do not think that the Bill is the right place for them, but I understand why they have been tabled. I believe they are well intentioned, and I know that Ministers are listening. In terms of amendment 1, I welcome the Government’s consultation, and I urge anybody involved to make their representations known before the closing date, which I believe is 10 November.

I would like to see more support from Ministers for direct-from-the-boat sales. When people go to London and eat a nice plate-sized piece of fish in a restaurant, the price can be eye-watering. Let me tell the House that at the other end of the scale, when the fisherman gets his price from market, that can also be eye-watering, but for a different reason. Somewhere along the way, somebody is making a lot of money out of it, but it is not the fishermen, and we need to put that right. I know there are voices in the Treasury who are sympathetic to that, and I make a plea to urge those conversations forward. A business in Falmouth that has just opened has as one of its unique selling points the fact that it wants fish that has never touched land. That sort of business should be encouraged, particularly in Cornwall.

Amendment 2 is about sustainability. One of the main reasons I came to this House was for the sustainability of our oceans and sustainability on land, but when we talk about sustainability in the fishing industry, we cannot talk just about the oceans; we have to talk about the coastal communities as well. Take bass, for example. My hon. Friend the Member for North Cornwall (Scott Mann) and I have spoken at length about bass and recreational angling versus the commercial fishermen, and I want to try to bridge the gap tonight if I can.

I absolutely get the reason why we need to have a sustainable bass fishery. The angling economy in Cornwall is growing and is worth a lot of money, but if that bass fishery is suddenly taken away from an under-10 metre boat, that fisherman cannot feed his family. We cannot just expect these fishermen one day suddenly to have to go out to fish for something else—it does not happen like that. I am not prepared to make people suddenly do that, so we have to have a long consultation with the industry, the fishermen and the conservationists before we come up with a plan. That is why this amendment is misplaced. We have to go with the framework and see where we go from that.

Amendment 3 deals with supertrawlers. Again, I understand why it has been proposed, but I am reassured by Ministers who say that we now are in control of those licences, and pressure will be on our Front Benchers to make the right decisions there. I will not go on for too long, I promise, but let me deal with a couple more things that I want to see, if we can do them.

The right hon. Member for Orkney and Shetland (Mr Carmichael) is no longer in his place, but I have sympathy with him on the enforcement argument, and not just on the outrageous incidents to which he refers. We see daily off the Lizard Point that French fishermen are within our waters and they should not be there. Even in the spawning grounds in the estuaries we need to make sure that anglers are not going up and taking undersized fish. There should be enforcement from one scale down to the last, and we need to make sure we are properly prepared to have enforcement here.

I am a big advocate of labelling—everyone in Devon knows how I feel about that—and it is vital that we get some clear labelling on our fish. The technology is there now to put the boat name on anywhere that that fish ends up, be it in an expensive fancy restaurant or in one of our supermarkets; we can see what boat that fish has come off and how it was caught. The fisherman who is fishing hook and line should get a better price than the one who is using the nets. The fisherman will then suddenly become responsible for his catch, in the same way as farmers are responsible for the high standards of their animals. That is important and it means that the consumer starts to become king—I hope that Ministers are listening.

We have a great opportunity for a culture change in this country about what we eat and why we eat it—that was mentioned earlier. The new Cornish residents, our TV chefs, who have moved down to the south-west have an important role to play in this. If we suddenly start eating wrasse, which they do in Japan, in sushi, or whatever else it might be, we can start making this a good thing to eat and consumers will follow.

I will conclude because I do not want to take up too much time. This Bill is a great first step, from which we have learned lessons from the CFP. We are finally starting to release our fishermen from the shackles of the CFP, which is vital. What we can achieve for the industry is endless because we are now an independent coastal state. I am reassured that future consultations will benefit our industry and I look forward to plans that come forward next year.

[Alyn Smith (Stirling) (SNP)]

I will speak to new clauses 1 to 7, which we tabled to try to improve this legislation. I spent 15 years in the European Parliament, alongside the hon. Member for Tiverton and Honiton (Neil Parish), working largely on fisheries reform, among lots of other issues. It is safe to say that the CFP is not the Scottish National party’s favourite policy and a number of things need to be done to improve it. It is the primary reason why Norway and Iceland are not EU members, although they are proudly part of the EU single market, for reasons also largely to do with fisheries and fisheries products.

If I learned anything in my time in Brussels, it was particularly about the marine ecosystem: everything is connected to everything else, and if one does not look at the whole picture, one makes poor conclusions. This Bill really is only part of the picture and it leaves the big questions—the existential questions for all our fishing communities and the people employed in fisheries—unanswered. Passing this Bill tonight, as I suspect Conservative Members will, is the easy bit; making good on the fine promises we have heard this evening will be an awful lot harder. Four years after the vote to leave the European Union and a year after we left the European Union—a fact that I regret deeply—we have yet to see the much vaunted advantages of that Brexit. It is a poor state of affairs that we are this stage in this stage of the proceedings.

The fishing industry is complex. It is not just about boats going to sea and catching fish. In Scotland, it is even more complex. We have a structurally different set-up to our industry in Scotland from that UK-wide. As we have heard throughout the debate, for every one job at sea, there are—depending on how one counts them—seven to 10 jobs on shore.

Stirling—by way of a counterintuitive point, as it is a generally landlocked constituency but for the tidal Forth—is one of the biggest UK producers of farmed prawns. The aquaculture department at Stirling University is engaged in world-leading, planet-saving research that is crucial to our economy. Tens of thousands of people are employed in aquaculture: in the prawn sector, the salmon sector and the inshore fishery, catching scallops and langoustines, and in the wider processing sector. All those thousands of jobs and all that GDP are utterly dependent on access, by which I mean tariff-free and frictionless access to the EU single market. That really does bring us to the nub of our scepticism about this Bill, which, as we have heard, the Scottish Government and Parliament have consented to because it is necessary, given that we have left the European Union. There is a need for a new legislative framework; we just do not think that this Bill answers the big questions.

The Norwegians joke that there is nothing in such a hurry as a dead fish on the back of a lorry. There are going to be lots of dead fish on the back of lorries wondering where they are going if we do not get a deal that ensures tariff-free and frictionless access. The vast chunk of fisheries’ economic activity is in grave danger in these ongoing talks, and this Bill answers none of their concerns and takes account of none of their interests.

This Bill is a framework for catching fish, and it is meaningless unless there is a deal for market access for all the other fish and fisheries products. The big questions are unanswered, so we have tried to make the legislation better with new clause 3 on the sea fish authority. We believe that more transparency in that structure would very much help the evolution of the organisation in the new challenges ahead. I urge Members to support the new clause, much though we have heard of the Minister’s scepticism this evening.

I am struck by the tone of this debate, as I was struck by the tone of the debate back in December, when I made my maiden speech, on the withdrawal agreement—the withdrawal agreement that so many Members on the Government Benches are now lining up to trash and the Government are looking to resile from in a “limited and specific way”, barely nine months later. The promises that have been made this evening are cheques that will not be cashed in the real world. When Government Members fail to deliver on their grand rhetoric—or, indeed, sincere hopes, genuinely held—they will have nobody to blame but themselves.

[Anthony Mangnall]

It is always a pleasure to be asked to speak briefly; brevity is one of my strengths, I am sure.

I have four points to make, and I feel that this may be—for those who were here on Second Reading—something of a rehash of my previous speech, not least because I want to speak against two amendments tabled by the Labour party, notably amendment 1 on UK landings. The Opposition talk about the need for specifying percentages for what our fishermen should be required to land. Rather than restricting where our fishermen can go and where they can land their catch, is not the answer to develop our ports to make them competitive with European ports, so that we can attract not only our own fishermen, but fishermen from Europe to land their catch here? That is a more efficient way of building and sustaining the processing plants across the United Kingdom, and building the ports such Brixham in my constituency. That is what we need to be doing—not restricting where our fishermen go.

My second point is on the sustainability principles and amendment 2. The first page of the Bill talks about the principles of sustainability; it is sustainable at its core. This is a finely tuned balance between the economic values and the sustainable values. The Opposition need to have a little bit of faith in the fishermen who fish our waters, who are determined to look after that stock, and to see their children and grandchildren go into the sector. That really matters.

A point that has been touched on by a number of people is how we develop and encourage our own “buy local” campaign.

I spoke during my maiden speech about the idea that the best of British—that British local seafood—should be on every menu across the country. That remains the case and we have a great opportunity to be able to create that campaign. I hope the Government will look carefully at how we can do that with cross-party support.

Lastly, I am going to sea next year for three days to see what goes on on a trawler vessel. I know that when they look at the Bill and hear us talking about it, they are proud of what the Government are trying to achieve. They are proud of the fact that it takes back control of our coastal waters, and they are proud of the fact that we will no longer be part of the common fisheries policy. I look forward to being able to report what it is like at sea and how the Brixham trawler fishermen operate —and I end my speech there.