(9 years, 10 months ago)
Lords ChamberI certainly agree with the first half of what the noble Lord has said. I am not suggesting that the work on labelling is by any means the only tool. That is why, as I have said, we are looking at the use of futures markets, because there is evidence of a seasonal cyclicality of milk prices. At certain times of the year a crunch tends to be worse, and such crunches can be foreseen, so we want to smooth that curve. But crucial is our work on exports, and noble Lords will be interested to know that exports to non-EU markets of dairy products are up by 47% year on year.
My Lords, is it not the case that one of the ways forward could be the model used by Tesco which has a margin-plus deal with farmers where at least farmers have an idea of what the future looks like and they get a decent price for their milk?
Yes, my Lords. Certainly, innovative deals such as that are of real value to farmers. Sadly, not all farmers are able to negotiate those deals, but we are working with them, as I have said, on various ways to resolve the problem.
(10 years, 8 months ago)
Lords Chamber
To ask Her Majesty’s Government what measures they are taking to improve flood defences in agricultural areas.
My Lords, we are spending £2.4 billion in this four-year period on national flood risk management and much of the 1.3 million hectares of agricultural land at flood risk benefits from this investment. Over the past two years, our capital investment has provided improved protection to more than 150,000 hectares of farmland and many agricultural areas also benefit from the Environment Agency’s flood defence maintenance work.
My Lords, while I welcome the creation of the farm recovery fund to support bringing flooded land back into production, is my noble friend aware that the impact of the flooding means that the majority of crops in the current production season will be totally non-productive? This causes considerable hardship in many agricultural communities. I ask my noble friend what plans the Government have to alleviate this hardship.
Before I answer my noble friend’s question, I remind the House that I have a farm and that I am not unfamiliar with being flooded. The £10 million farming recovery fund will help farm businesses bring flooded agricultural land back into production as quickly as possible. In addition, £10 million is available under the farming and forestry improvement scheme—part of the rural development programme—which will provide support for farm business resilience. One hundred per cent rate relief is available to flooded businesses for three months. There are also, more generally, grants of up to £5,000 for households and businesses in affected areas to improve resilience of premises to future flooding.