(2 years ago)
Commons ChamberI am grateful to have caught your eye in this important debate, Madam Deputy Speaker. May I say how delighted I am to see the Minister of State, Department for Environment, Food and Rural Affairs, my right hon. Friend the Member for Sherwood (Mark Spencer) back on the Front Bench? That is great news, because he really does know a great deal about the subject.
I congratulate my right hon. Friend the Member for Tatton (Esther McVey) on opening the debate. I look forward to being invited to have some of her excellent chickpea soup, preferably garnished with some excellent Tatton beef. I also congratulate the hon. Member for Bristol East (Kerry McCarthy). Having spent years disagreeing with her in rural debates, I agreed with nearly everything she said. On chickpeas, I hope that she agrees that one of the great challenges for British agriculture is to produce more pulses and a greater variety of them. That is absolutely possible with new varieties.
The national food strategy is an important milestone, and Henry Dimbleby was an important contributor. This week, as hon. Members have said, the price of staple foods including bread, tea, potatoes and vegetable oil has absolutely soared. Data from the Office for National Statistics collected thousands of prices from items available on supermarket websites, and food price inflation is staggering. When we look at the percentage changes in the prices of the lowest-cost products between September 2021 and 2022 we see that vegetable oil is up by 65%, pasta by 59.9%, tea by 46%, bread by 37%, and milk by 29.4%. These price increases are huge, making the weekly shop for many people simply unaffordable. The differences in price seem to be starkest in the case of food staples as opposed to luxury items: for example, the price of orange juice is actually down by 8.9%, while the price of wine has increased by only 2%. The impact on food staples will be catastrophic for those living on the breadline, who are already having to budget tightly to feed their families each week.
Food and energy prices are highly regressive, causing more of those on low incomes to pay much more as a percentage of their budgets than those higher up the income scale. Increasing food prices will soon become as big a problem as the increase in energy prices, to which much more attention has been paid in the House and elsewhere. As has already been said, 18% of all households have experienced food insecurity in the last month.
Supermarkets should be doing more to compete with each other and try to hold prices down, even if it has an impact on their profits. After all, that is what they are dictating to their suppliers—often small suppliers, some of whom will not survive this latest bout of cost and food inflation. The country’s largest supermarket, Tesco, has taken steps to ease the costs for its customers. Despite falls in profits, it is freezing prices on more than 1,000 products, while at the same time increasing the hourly rate of pay in its stores to £10.98 to help its workers.
While costs in supermarkets are soaring, the increased costs of fertiliser and feed, exacerbated by Russia’s war in Ukraine, will cause a crisis for some farmers who will undoubtedly cease to trade. The cost of potatoes in the supermarkets has recently been hiked by 13.2%, whereas farmers have seen only a 5% rise this year. I know that the hon. Member for Bristol East will disapprove, but British Sugar is to increase its wholesale sugar price by 40% by the end of the month, while sugar beet farmers have seen a substantive increase of only 30% this year, which is the first increase in three years. All this is happening in an environment where the price of fertiliser—the main cost to farmers—has increased by 300% in the last 18 months.
DEFRA urgently needs to discuss this matter with the supermarkets. They should not be raising their prices for customers by more than the increase for their suppliers, and they certainly ought not to be increasing shareholders’ profits on the back of the poorest in the country. In short, they should be exercising restraint for a short period to get us over this financial crisis. They should also continue the policy that some began during covid, and buy British wherever possible.
It is important for the Government to continue with their environmental land management scheme re-evaluation to see whether taking land out of food production for environmental schemes such as tree-planting and rewilding balances with the need to maintain the land to grow food sustainably, and to protect our own food security. In the current circumstances, in which the cost of food is so high and the poorest in our society —as has already been said—are having to rely on food banks to feed themselves, it is our duty to ensure that we can produce as much of our own food as possible to meet demand.
My hon. Friend is making a powerful case, because he knows a great deal about this subject—as does my right hon. Friend the Minister. Does he agree that, given the challenges we are facing, it is right to start focusing on tackling food waste? I recently met representatives of a potato business in my constituency, E. Park & Sons, and Sodexo, one of one its major clients. That focus will not just help them and their bottom line, but ensure that food is more available in these difficult times.
My hon. Friend has raised a point that is important in two respects: it applies not only to the food retailers and processors but to individuals in their homes, where far too much food waste goes on.
As an island nation, we should not be over-reliant on imports or the global market with the shocks that can come with that, the most recent case being the war in Ukraine. In the 1980s, our self-sufficiency in food was 75%; it has now fallen to only 60%. We need to encourage as much food production in this country as possible, so that more of the food we eat is grown in this country to keep prices at a sustainable level. Since August 2021, imports of food and live animals have increased rapidly, while exports have barely moved.
I fully recognise that environmental schemes such as tree-planting and soil improvement schemes to prevent our rivers from being polluted will help to slow climate change and improve our natural environment. However, it is also the case that as global temperatures warm, vast swathes of countries near the equator will inevitably produce less food, which means that temperate countries such as ours will have to produce more to feed the world.
Environmental and animal welfare issues are often forgotten. Either animals are having to be transported for long distances to be slaughtered, or environmental damage is caused by shipping or, worse still, flying food for vast distances across the world. The way to improve the situation is to ensure that animals are slaughtered as humanely as possible close to the farm where they are kept, and to ensure that all food around the world is consumed as close as possible to the point of production whenever that is practicable.
Let me say this sincerely to my right hon. Friend the Minister: we need to be very careful about taking land out of production. It makes no sense for a 2,000-acre good-quality arable farm in Essex which was formerly growing wheat, barley, rape and field beans to be encouraged to put all its land down to grass under the countryside stewardship scheme. Let me also say to the hon. Member for Bristol East that while I fully accept that we should be taking some of our poorest land out of production for environmental schemes, we should be very careful about taking our best land—particularly grade 1 and 2 land, in the old parlance that was used when I was training —out of production for non-food-producing schemes.
No one is keener on improving and protecting the natural environment than I am. Those of us who are lucky enough to live in the Cotswolds are eager to protect its natural beauty, and I pay tribute to my Cotswolds farmers for not only producing some of the best lamb in the country but participating fully in environmental schemes to improve biodiversity. On the other hand, everyone in the world is reliant, wherever possible, on a good supply of food at a reasonable price. If we are to reduce the amount of food that we import and have a long-term sustainable food policy, we must do more to grow and process our own food. That will help to bring down the cost of our basic food staples, helping individuals and families to shop for food without fear of what it will cost. I imagine that so many are unable to do that at present. Equally, we in the UK have the most beautiful countryside and rivers in the world, in which we need to be careful to preserve our biodiversity.
(5 years, 8 months ago)
General CommitteesI am delighted to hear that. The instrument includes amendments to nearly 50 pieces of EU legislation. Members of the Committee will be pleased to hear that I will not go through every regulation—[Hon. Members: “Go on.”] I will, but not today. Now, I will outline the most important aspects of the legislation.
The instrument makes technical amendments to ensure the continued operability of 14 EU instruments concerning imports of live animals or reproductive products; 17 concerning imports of animal products intended for human consumption; six that lay down protective measures against the introduction of particular diseases; two that cover the EU pet travel scheme; and seven that relate more generally to the import regime for animals and animal products. This instrument also contains minor technical amendments to references to fees in two domestic instruments.
The amendments ensure the continuation of veterinary controls and other import conditions that safeguard animal and public health. They allow for authorisation of businesses to continue and for the maintenance of health certification and transport requirements, and allow appropriate actions to be taken in cases of reported non-compliance or disease outbreaks in other countries. Furthermore, they provide for the continuation of the existing health and documentary requirements for the non-commercial movement of pets into the UK under the EU pet travel scheme.
In addition, the amendments transfer certain powers and functions from the European Commission to our respective UK Ministers. The amendments give Ministers the power to take appropriate action in relation to trade restrictions resulting from disease outbreak. Regulation 3 of and schedule 1 to the instrument provide the power for the appropriate UK Minister and Northern Ireland Department to draw up lists of third countries approved as having equivalent official disease controls for continuing trade with the UK in live animals and animal products.
The Trade in Animals and Related Products (Amendment) (EU Exit) Regulations 2019 make technical amendments to EU-derived domestic legislation. Importantly, this instrument amends our main English animal trade instrument—the Trade in Animals and Related Products Regulations 2011. That is key legislation for the import of these commodities into England. It establishes a system for trade in live animals and genetic material with other EU member states, and for imports of animals and animal products from outside the European Union.
The measure also amends two related instruments that regulate the non-commercial movement of pet animals into Great Britain: the Non-Commercial Movement of Pet Animals Order 2013, and the Rabies (Importation of Dogs, Cats and Other Mammals) Order 1974. The instrument will allow these laws to continue to work after EU exit, for instance, by removing redundant references to EU bodies, functions or legislation, and replacing them with domestic equivalents. It will also amend phrases that would no longer be correct, such as changing “legislation of the European Union” to “retained EU law”.
Taken together, the two instruments that we are considering ensure the continuation of appropriate certification, sufficient pre-notification of imports, checks of certain consignments, and isolation and vaccination facilities. That safeguards our current strong biosecurity standards for imports of animals and related products, and provides for the continuation of the existing legal framework around the movement of those trade commodities and pet animals.
These instruments have different territorial extent and application, and the devolved Administrations were closely engaged in their development. The first instrument applies to the whole of the UK; in the second instrument, part 2 applies to Great Britain and part 3 applies to England only. The devolved Administrations are tabling their own versions of the amendments in the second instrument, which relate to their own “mirror” legislation and are being laid as separate affirmative instruments.
As stated, these instruments make technical amendments to maintain the existing standards, and no impact is anticipated. As they do no more than is necessary to enable domestic legislation to be operable immediately after EU exit, there is no statutory requirement for public consultation. Formal consultation and impact assessments have not been performed, as these amendments will not introduce additional requirements or costs for stakeholders.
I am sorry to interrupt my hon. Friend, particularly as I wholly approve of these instruments, because they are a significant consolidating measure. He has said two or three times that the measures will have no financial impact on users. Would he therefore say what arrangements will be made for consultations on any fee increases?
As I said before, there will be no extra costs or fee increases.
I am grateful to my hon. Friend for that explanation, but paragraph 6.1 of the explanatory notes says:
“This instrument amends…forty-six directly applicable pieces of EU legislation…It also introduces amendments to the domestic powers to recover fees in relation to activity relating to imports of animals and animal products from the EU.”
That presages the prospect of fee increases, does it not?
With my hon. Friend’s permission, I will proceed with my speech and then, when I conclude, I will address that point in more detail.
As I was saying, the Department for Environment, Food and Rural Affairs has engaged with various major stakeholders, including the Food and Drink Federation, the International Meat Trade Association and the National Farmers Union, on the subject of these instruments, and those stakeholders raised no concerns with DEFRA’s approach.
In relation to the wider effect of leaving the EU on animal trade and pet travel more generally, DEFRA has of course made extensive engagement. In relation to the equine sector and pet travel, DEFRA has engaged with key stakeholders, who are also content with the proposed approach to equine movements and pet travel.
These instruments are required to ensure that the UK’s statute book continues to function correctly after EU exit. Each year, products of animal origin and live animals imported to the UK are valued at over £19.3 billion, of which 80%—about £15 billion—comes from trade with the EU. If these amendments are not made, there would be considerable disruption to the UK’s imports system, resulting in a threat to the UK’s biosecurity, and a lack of clarity for industry and non-commercial pet travel, which would be likely to lead to additional costs for importers and stakeholders.
Although the UK is under no legal obligation to adhere to EU rules for trade following EU exit, failure to do so could result in the UK being unable to trade in animals and their products with EU member states and third countries. The Government’s policy is therefore to maintain current standards, legislation and arrangements relating to such trade on the day the UK leaves the EU.
Regarding the EU’s pet travel scheme, the amendments are required to ensure that safe pet travel without quarantine can continue into the UK. Currently, 300,000 pet animals move into the UK each year, through the pet travel scheme. If these amendments were not made, EU pet passports for pet animals travelling from the EU would no longer be valid in the UK, which could cause travel disruption. The UK’s ongoing application to become a listed third country for the purposes of pet travel between the UK and EU member states also depends on maintaining EU minimum health standards.
In conclusion, the trade in animals and animal products that do not constitute a risk to human or animal health is of significant importance to the UK’s food security and economy. The technical amendments in these instruments are essential for the continuation of the UK’s current trade and import regime, and for minimum disruption to pet travel. They will also ensure that our strict biosecurity controls on animal trade are maintained at their current levels when we leave the European Union. I commend the statutory instruments to the Committee.
I thank hon. Members who have contributed to the debate. As I said, the draft regulations will ensure that the robust certification, pre-notification and biosecurity standards for imports of animals and related products set out in EU legislation will be maintained. That is an important point, and one not lost on Members who have spoken in the debate.
I am grateful to the hon. Member for Stroud. He showed his characteristically thorough approach, and I will try to answer his many questions briefly. First, however, I will respond to a concern expressed by my hon. Friend the Member for The Cotswolds about fee increases. Fees are set out in other domestic legislation, so would require parliamentary oversight and prior industry consultation before any amendment. That is not part of this legislation; it is separate. The amendments in regulations 4 and 5 are simply enabling powers to allow fees to be charged for imports from the EU in future.
I am sorry, I do not want to cause the Minister any additional difficulties, but in the Cotswolds, which my neighbour, the hon. Member for Stroud, and I represent, we have a large sheep industry. Most of that sheepmeat, whether dead-weight or light-weight, goes to the continent. Currently, it is not subject to checks; in future, it will be subject to checks, and the farmers involved will have to pay the charges. That will have quite a severe impact on certain sectors of the economy. I would be grateful if my hon. Friend—if not now, some time—set out in detail the Government’s impact assessment of that.
I will gladly follow up on that. We are discussing the draft regulations, however, and the points that my hon. Friend has just made, good as they are, are outwith the narrow confines of the legislation—although we have discussed a lot today. Some of the checks that he is concerned about relate to what will happen in the EU, rather than in the UK. Nevertheless, I will give him the specifics and follow up on his points in detail, ensuring that they are fully considered.
Consultation and impact assessments were raised by the hon. Members for Stroud and for Motherwell and Wishaw. Again, notwithstanding the fact that there will be significant changes to how we deal with exports and to some extent imports—we are trying to have a friction-free approach to imports from the EU—those changes and impacts are outwith what we are discussing today. Yes, there have been impact assessments and consultations on other aspects, but the specific draft regulations—