Oral Answers to Questions

Debate between Jonathan Reynolds and James Paice

Thursday 5th July 2012 Commons Chamber

[The Minister of State, Department for Environment, Food and Rural Affairs (Mr James Paice)]

I am happy to say yes, we are determined to reduce the number of unnecessary inspections, and we have committed ourselves to doing so as a result of the farming regulation taskforce. Progress has been made, but I want to go further, and I can assure my hon Friend that, this year and next year, farmers who demonstrate one way or another that they are at low risk will see a significant reduction in the number of inspections.

[Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)]

T3. Last Friday, I met farmers in my constituency and was shocked to hear about the nature of the milk contracts in the dairy industry that many of them face. I appreciate what the Minister has just said about a voluntary arrangement, but I think he would acknowledge that there is great scepticism about whether it will be enough for colleagues on both sides of the House and farmers themselves. What can he say to reassure me that it will be enough?

[Mr Paice]

We have to be realistic, and I want to be: no code of practice or compulsory contract will solve all the woes of the dairy industry. I believe that a voluntary code is better because the EU legislation on a statutory code restricts what can be in it to only a certain list of headings. A voluntary code would allow a wider range of headings. The stumbling block in negotiations appears—obviously I am not integrally involved, as this is a matter for the industry—to be over the period of notice that a farmer can give to leave a contract, if they do not like a price or other change, and over the period of notice that a processer can give the farmer. That is the point of difference, and the point on which I encourage both sides to find a compromise.