Agriculture Bill (Seventh sitting)

Colin Clark Excerpts
Thursday 1st November 2018

(5 years, 6 months ago)

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George Eustice Portrait George Eustice
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The amendment deals with an incredibly important issue. As the hon. Member for Bristol East said, if we want to feed a growing population and tackle issues such as climate change, doing all we can to bear down on and reduce food waste is essential. I remember being at an OECD event where there was discussion around some of the African countries that have big problems with a lack of chill chain distribution, which can really affect food waste in their countries. It is a very important issue and I am going to explain what the Government are doing about it, but I hope that the shadow Minister will understand that I do not think the Bill is the right place to address it.

The UK is already leading the way in the EU and internationally on food waste. Food waste in the UK reduced by 14% per person between 2007 and 2015. We have seen a 19% reduction per person in the amount of food thrown away that could have been eaten. There have been some important changes. Food labels used to give the advice “freeze on day of purchase”, which made no sense and meant that people threw away food that could have been frozen instead. There has been a growing and better understanding of the difference between use by dates and best before dates, which means that people are willing to eat food that goes past its best before date because it is still perfectly good to eat.

At the Conservative conference, the Secretary of State announced a new pilot scheme aimed at reducing food waste further from retail and manufacturing, backed by a £15-million fund. The scheme will be developed over the coming months in collaboration with businesses and charities and will launch in 2019-20.

As hon. Members will know, the Waste and Resources Action Programme works closely with DEFRA. The Institute of Grocery Distribution also does some very good work in this area. Working with them, we have published a food waste reduction road map, which lays out ambitious milestones for food waste measurement that will be vital in achieving national policy objectives and targets on food waste reduction, including Courtauld 2025 and sustainable development goal 12.3. The Courtauld commitment, launched by WRAP and supported by DEFRA in 2016, is a commitment out to 2025 to see an ambitious reduction of 20% per capita in food and drink waste in the UK. The target already exists—it was set in 2016 by WRAP—and, as I have explained, we have made good progress already in the last 10 years.

Because we take the issue so seriously, further initiatives will be included in DEFRA’s forthcoming resources and waste strategy, which will be published later this year. The hon. Member for Stroud asked whether the food strategy will cover this issue. I can reassure him that before we get to the publication of the food strategy, we will have the publication of the resources and waste strategy, which will include a great deal of consideration of the issue of food waste.

Apart from the fact that the amendment is unnecessary because these important issues are being picked up through other Government initiatives, as my right hon. Friend the Member for Scarborough and Whitby pointed out, there is a problem in requiring the recipients of financial assistance to take steps to avoid food waste and the waste of food products. Food waste is often out of the hands of farmers. In evidence, George Dunn of the Tenant Farmers Association gave an example of a lettuce grower who had grown a crop in good faith, had cut the crop and was ready to sell it, and then the purchaser changed their mind at the last minute. He was left with a perishable good for which he had no market.

Colin Clark Portrait Colin Clark (Gordon) (Con)
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The Minister reminded me of my carrot production—we grow them. It is not a carrot factory; we do not make them in a machine. If carrots get carrot fly or another disease, they have to be ploughed back in. If someone grows broccoli, they will grow various stages of broccoli, and some of those stages of broccoli will have to be ploughed back in. That is a decision the farmer makes—it is not because the supermarket rejects it. The food industry is a very advanced industry and for 30 years, we have been making use of the by-products. Putting this point in the Bill underestimates the fact that, particularly in vegetable farming, we grow a whole programme of vegetables and we may plough some back in. It is a by-product; it is not waste.

George Eustice Portrait George Eustice
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My hon. Friend makes an important point. I was going to turn to waste in the primary production area later.

To finish the point about contracts and fair dealing, we will deal with that at a later stage in the Bill and debate it. We will try to address some of the problems in the supply chain where perfectly good food goes to waste because it has the wrong label or a purchaser has changed their mind at the eleventh hour. There is a limit to what farmers can do to control such food waste in the supply chain. That leaves us with the question: where could they control waste? The answer, of course, is at the primary production stage.

As my hon. Friend the Member for Gordon pointed out, if a farmer grows carrots and has the great misfortune to get carrot fly, there is already quite a financial penalty without then having somebody come along and say, “Now we are going to take all of your financial assistance away as well, because you have had a problem with your crop and there is some waste.”

As some Members know, I worked in the farming industry for 10 years before going into politics. We used to grow winter cauliflowers in Cornwall. We used to pray for frost in Kent to kill the cauliflowers there and hope that we did not get frost in Cornwall. However, there were times when we had severe weather in Cornwall that devastated the crop, and we would have to rotavate the cauliflowers into the ground and plough them in. The financial penalty was considerable. I can assure hon. Members we never wanted that to happen, but occasionally it does.

Nevertheless, we have commissioned WRAP to do a study of waste rates in primary production. It will report on that later this year. The area is complex, as I said, because of the weather, pests and disease, which tend to be the main contributors to the waste, but WRAP is looking into that.

I hope I have reassured the hon. Member for Stroud that the Government take the issue incredibly seriously. We have made some progress in the past decade. We have targets already out until 2025, and we will publish an updated resources and waste strategy that will include food waste later this year.

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George Eustice Portrait George Eustice
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Scotland has one of three options: it can bring forward its own primary legislation or it could add a schedule. Its content could range from something similar to what Wales has done, which is a full suite of powers, or it could take the approach of Northern Ireland, which is broadly the powers to roll-over the existing scheme and make modifications but not to make changes beyond that. Finally, it could pass legislation or ask us to add a schedule that gave it the power to continue to make payments but nothing else—not even to modify. There is a range of options, but Scotland needs to do something and have primary legislation or its power to make payments will fall down at the end of 2020.

Colin Clark Portrait Colin Clark
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To be absolutely clear, is there any legal framework in the EU (Withdrawal) Act that would cover Scotland to carry on make payments beyond a date? Would there have to be primary legislation?

George Eustice Portrait George Eustice
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Yes, that is correct. We may be straying into an issue that I will explain in more detail later under Government new clause 3. Although the basic payment scheme regulations come across through retained EU law, there is a natural sunset clause on the financial ceiling—the payment powers underneath it. Unless an amendment is put down to extend the financial ceiling, that power falls away. That is not addressed in the EU (Withdrawal) Act. At the very least, a single clause is needed to create a financial ceiling beyond 2020.

Agriculture Bill (Sixth sitting)

Colin Clark Excerpts
Tuesday 30th October 2018

(5 years, 6 months ago)

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Colin Clark Portrait Colin Clark (Gordon) (Con)
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The hon. Lady is making a powerful point. It was interesting that she brought up the question of single farm payment. As I have declared, I am a recipient of that and I am aware of the cross compliance rules. Does she not take some comfort from the fact that we recognisably have the highest welfare standards, not just in Europe but probably in the world? That gives us some encouragement that our culture is not just about working towards respecting legislation, and we need a carrot as much as a stick. In many ways, I agree with her, but does she recognise that we have the highest standards?

Kerry McCarthy Portrait Kerry McCarthy
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The hon. Gentleman has plenty of carrots, although I do not know about sticks. For those who do not know, he is in the carrot business. I have already said that I get a bit fed up with the constant refrain that we have the highest animal welfare standards in the world, because I think it suggests a slight degree of complacency and we should constantly aim higher. The Minister is probably sick to death of the number of written questions that I table about slaughterhouses and conditions on farms, but we have seen from undercover investigations some of the conditions under which the more intensive farms operate. I am by no means tarring all farmers with the same brush, and it is good that we take animal welfare so seriously in this country. However, there are a lot of examples of when we do not, and we should not be too complacent about it.

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Colin Clark Portrait Colin Clark
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I rise to speak in support of the amendments in my name, but for the sake of time I will not go over the points already made by my hon. Friend the Member for Ludlow.

I have stated on the record my belief that the Bill should address food and farming. I have been open about my registered interests, my involvement in food and in conventional and organic farming, and the fact that I receive the single farm payment from the Scottish Government. On that point, I should note my disappointment that the Bill does not include a schedule about the Scottish Government, because it is important that Scottish farmers have clarity, too. If the Bill is trying to achieve anything, it is a framework to give farmers greater clarity. Through the Bill I hope that we can achieve a common framework with the Scottish Government, as well as the authorities of Wales and Northern Ireland. We have to protect the unitary market, because we have shared values in farming and agriculture, and it is important that we continue to protect them. I embrace the opportunity to design UK agricultural policies. I listened closely to the hon. Member for Darlington, and I sympathise with her desire for clarity for the farming industry, so I would like to hear from the Minister that farming will have a clear shared priority, with public money for public goods.

I passionately believe that we should make farming in this country more productive. As someone who has been involved in the agriculture industry for 30 years, I know that productive farming and the environment go hand in hand, and I have seen leaps and bounds from the darker days on the 1970s. I look forward to hearing from the Minister about how farming and the environment will continue to go hand in hand, which is certainly the ambition of Scottish, Welsh, Northern Irish and English farmers.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
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I will keep my remarks brief, but I must speak against amendment 90, tabled by the hon. Member for Ludlow. I appreciate that it is not dissimilar to his amendment 89 to clause 1, but it relates instead to schedule 3, which outlines the powers that I understand were requested by the Welsh Government. Those powers should not be amended or in any way interfered with by the Committee, or indeed by this House.

I oppose amendment 90 on a point of principle because it should be for Welsh Ministers to formulate proposals for Welsh agricultural policy and for the Welsh Assembly to give or reject its consent. As the hon. Member for Brecon and Radnorshire will know, my colleagues in the Welsh Assembly are vociferous in expressing reservations about some of the Welsh Government’s proposals for agriculture policy. However, it is unacceptable for the Committee to consider any amendment that would omit the requested provisions in schedule 3 or interfere with their operation in any way.

I will not return to the argument that we had this morning about the distinction between “must” and “may”. I will say only that I am not entirely sure what purpose the amendment serves in stating that assistance “may only be given” to certain persons, other than restricting the Welsh Government’s ability to pursue and operate their own policy preferences. I am not sure how that would do anything to enhance the powers currently set out in schedule 3, which states that the Welsh Government “may give financial assistance” for a broad range of purposes.

I recognise that amendment 90 is probing, and I appreciate the opportunity it presents to think again about UK-wide common frameworks, as the hon. Member for Gordon said. The agricultural industry is inevitably closely intertwined across the United Kingdom. The circumstances by which we remove ourselves from the European Union’s CAP make us go back to the drawing board on how this common UK market will operate. I have raised this matter on previous occasions and I make no apology for being quite a broken record in that regard. Where common frameworks are concerned, they need to be drawn up, agreed to and implemented upon the agreement of the three devolved Administrations and the UK Government. In that regard, I am not inherently averse to the alignment of agricultural policy across the United Kingdom—far from it. I am making a point of principle that it is for the Welsh Government, in conjunction with the UK Government and the other devolved Administrations, to decide on that alignment, and not for this Committee or, indeed, this place to act unilaterally.

I attempted to spell that out in new clause 11, which I acknowledge will not be debated, but I am sure that we will have further opportunities to discuss the need for common frameworks, and I know that Members on both sides of the divide are concerned about them. Just for the record, unless amendment 90 was something that was requested in any way by the Welsh Government, I am struggling to see how, as it stands, it enhances the powers of schedule 3 and why it would be in any way necessary for the schedule’s effective function.

Agriculture Bill (Fifth sitting)

Colin Clark Excerpts
Tuesday 30th October 2018

(5 years, 6 months ago)

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Kerry McCarthy Portrait Kerry McCarthy
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In some places, there is fertile soil. There are measures that one can take—we heard evidence from Helen Browning, I think. I apologise that I am slightly confused about whether I heard evidence in this Bill Committee last week or as a member of the Environment, Food and Rural Affairs Select Committee, because the same people have been giving evidence to both.

There is a lot that we can do to increase biodiversity in fields; for instance, we can take some land out of production, which adds to soil fertility and yield. We heard evidence from Helen Browning of the Soil Association about that.

Colin Clark Portrait Colin Clark (Gordon) (Con)
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Will the hon. Lady give way?

Kerry McCarthy Portrait Kerry McCarthy
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Before Conservative Back Benchers try to suggest that I am not talking sense, let me say that the Secretary of State has estimated that the UK is just 30 to 40 harvests away from the fundamental eradication of soil fertility in parts of the country.

Colin Clark Portrait Colin Clark
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The hon. Lady is making a powerful case, but I remind her that when the EU forced set-aside upon us, all that did was create a weed bank. It did not improve the fertility of our soil. I am from north of the border, where traditional rotations are still very much part of farming. I agree with my right hon. Friend the Member for Scarborough and Whitby, who says that yields are increasing. Does the hon. Lady not believe that in the last 20 years, agriculture in the UK has made great leaps to improve soil fertility? Perhaps she is speaking about something that is more historical.

Kerry McCarthy Portrait Kerry McCarthy
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No, I do not believe that. The hon. Gentleman is a member of the Environmental Audit Committee, but I do not think he was a member during its inquiry into soil health. I suggest that he goes back and reads that report, which is quite devastating. The APPG held a three-part session and produced another report. I think that there is consensus on this and am surprised that Conservative MPs are challenging it.

As I said, the Secretary of State has acknowledged the impact of soil degradation. We can always point to examples where that is not the case, but in general this is an issue across the country. During the evidence sessions last week, the Minister indicated that he might be prepared to look at this. His view was that soil health is already covered in the Bill, although not specifically. I am saying that it is such an important issue that it should be specifically mentioned, rather than it just being assumed that it comes under public goods.

The amendment was drafted by the farming organisation Linking Environment and Farming and has support from the Soil Association, Innovation for Agriculture, and the Royal Agricultural Society of England. During our first oral evidence session, witnesses such as Caroline Drummond, chief executive of LEAF, and Vicki Hird from Sustain, agreed on the need for soil health to be separately listed as a public good. The importance of soil health is mentioned in the documents accompanying the Bill.

The explanatory notes state that

“Subsection (1)(e) will enable the Secretary of State to provide financial assistance for activities…to prevent…hazards to…the environment,.”

It could therefore

“be used to reduce flood risk by incentivising good soil management.”

I was shadow Secretary of State at the time of the devastating floods a few years ago. The people responsible for land management in any of those farming communities will say that soil mismanagement contributed to the scale of the problem.

Agriculture Bill (Third sitting)

Colin Clark Excerpts
Thursday 25th October 2018

(5 years, 6 months ago)

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None Portrait The Chair
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Q Mr Cross, as a farmer, do you have a view on this?

John Cross: I totally agree with several of the things I have heard about the quality, fertility and productivity of our soils. That is something that some in the industry and some areas of the country have slightly lost focus on, and it is something that I myself am very passionate about.

I do not farm in an area where flooding is a problem, so I do not have any experience there, but designing schemes to encourage or nudge producers into taking a more active role in managing the long-term stability and fertility of their soils has to be the right way to go, because the land’s ability to produce grass or food crops is entirely dependent on its health, structure and organic matter levels. It is the right way to go.

Colin Clark Portrait Colin Clark (Gordon) (Con)
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Q This is a question to Mr Cross regarding electronic identification traceability, with which we are quite familiar in Scotland. ScotEID, which is based in my constituency, already covers cattle, sheep and pigs. The recent BSE case was very quickly closed down, and the cohorts were identified. It is testament to the Scottish authorities that they closed it down so quickly. The problem with such systems is that they must be robust, and the Government have not got a very good history of designing systems. Are you looking at existing commercial systems for EID traceability, which could be quickly implemented, rather than starting from the ground up?

John Cross: The answer to that is yes. If you look around the world, there is quite a lot of not-quite-off-the-shelf, buy-it-and-plug-it-in technology. High-calibre EID traceability systems are in place all over the world. To identify the equipment that would suit the industry best, we have already had an open supplier day to look at technologies and the potential suppliers of such technologies. In fact, 38 companies from around the world came and showed an interest. If we throw the door open, so to speak, and explain to the industry what we want to achieve and what outcomes this country is looking for, those that see themselves as best suited stay with the process. The aim is to procure the best proven system, rather than build one from scratch.

Colin Clark Portrait Colin Clark
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Q As a supplementary to that, this is all about public money for public goods. Is animal health arguably a public good? Not only would traceability be important, in terms of trade, but traceability can prevent the catastrophes we have had with foot and mouth and BSE in the past, and the effect that sanitary restrictions can have on population movement. What is your opinion? Should animal health be seen as a public good because it is so necessary and affects us all?

John Cross: “Animal health” is a very complex phrase. You have got animal health from the point of view of the absence or presence of disease, and animal health from the point of view of making a judgment about animals that are sick—there is a welfare issue there, depending on the severity of the disease. Animal health is a wide subject. As I said earlier, animals that are suffering from various levels of endemic diseases can be regarded as suffering from that disease. They are highly inefficient; they are wasteful. Animals that are diseased have a higher carbon footprint than healthier ones. They produce less from the inputs they are given. It is like trying to run an industry with the handbrake permanently on. Nothing performs well enough.

From the point of view of the use of inputs, the future of the environment and the impact on climate change, you are much better off if you have a well-run industry producing very healthy animals extremely efficiently. At the same time, that enables you to do a better job environmentally. Inherently, the welfare of animals is enhanced by the absence of disease. It is all interlinked. Is it a public good? I would say yes. Not entirely, but yes.

None Portrait The Chair
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Before I revert to the Minister, are there are any more questions from the Back Benches? No.

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Kerry McCarthy Portrait Kerry McCarthy
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Q May I also ask about whole farm systems? I have an amendment that relates particularly to agro-ecological and organic farming, which I am sure the Soil Association would support. You mentioned the concern that the approach might be piecemeal, with people doing things round the edges. How important is it to support a whole farming system, as opposed to focusing on individual public goods?

Helen Browning: In my view, whole farming systems such as organic farming or agroforestry are probably the most efficient way to support the public goods that we want, because they actually deliver them as an inherent part of the food production system. That is why I have been an organic farmer all my life: I do not want to be farming intensively in one place and trying to produce public goods in another. The integrated approach gives us a balance of food production with environmental care. We will still need to do special things in special places so that we can preserve species, manage floods and so on, but the agro-ecological approach should be at the core of our farming system. We know that we need to start moving away from pesticides and antibiotic use, and towards encouraging rotations and using less manufactured nitrogen.

I welcome the steer on climate change, which is incredibly important. We need to soak up more carbon in our soils and in our trees. We need farming systems that deliver those things, but at the moment that is not coming through strongly enough. It will be financially and physically the most practical way to do it, and it will give people a vision of the future that we can all sign up to. A drive towards using the new technology coming through, as well as traditional techniques, would feel really exciting.

Colin Clark Portrait Colin Clark
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Q I declare an interest: I am a conventional farmer and an organic farmer, and I own fresh produce factories. I have been involved in farming for donkeys’ years.

Part 6 of the Bill is about fairness in the supply chain. Several retailers have moved to central direct buying, reducing the role of packers to, effectively, contract packers. That has been part of the problem with the oversupply of apples this year. The industry is already changing: instead of producer organisations having 12 months’ integrated supply, the supermarkets are now trying to do it themselves. How will the Bill rebalance that? If you do try to rebalance it, you must maintain the natural effect of the market—how else will you control supply? What does the Bill actually do to give real powers of fairness between the power of the supermarkets, where they are already squeezing out the existing supply chain?

Jack Ward: Growers understand that they are operating in a very competitive market and that is the way the world goes. We also have to recognise that we only supply for a part of the year. For growers, with the exception of one or two crops, it is a seasonal operation. Some growers are growing overseas and filling that gap. Generally they understand exactly how the supply chain works. I think I am right in saying that the Minister is charged with developing something around supply-chain fairness in the future. I think it is just about getting a better understanding between the two sides about what supermarkets need and what growers can supply.

This year has been a good case in point. We have been through a really difficult growing season with a very cold start and then a very dry middle period. It took quite a long time before people appreciated that what was coming off the farms would be different from a normal year, as a result of those weather conditions. It is about getting that understanding, acceptance and realisation that things might be different. You are not producing off a spreadsheet. Even if your spreadsheet says you will get x volume of y specification at z price, the season can interrupt that. There needs to be a grown-up discussion about how to accommodate that, rather than buyers turning their backs and saying, “Okay, we will have it in from America,” or wherever.

Helen Browning: I will just add a bit more to that. There is also a need in the wider industry for a real culture change around co-operation and how we work together, both through the supply chain and between producers themselves. In some areas, we have better integration and better co-operative working. In the “Health and Harmony” document, the co-op that I belong to—the Organic Milk Suppliers Co-operative—was cited as a very good case study, and that is absolutely right. Differentiating markets, being very clear of our purpose, being inventive and entrepreneurial, and working well in partnership will all stand us in good stead.

There is a real need to look at transparency and information clarity, which we have already talked about a bit today. I also want to mention the opportunity to shorten supply chains and create new markets through investing in the kind of infrastructure that we need, in order to allow farmers and growers to deal more directly with the consumers themselves. We need to do that efficiently, so that we do not end up with white vans and lots of capital investment on every farm. But I think there are ways of doing that through processing hubs and good distribution networks, and that could be revolutionary in ensuring that fresh food is available affordably and does not always have to go through the normal retail chains.

Colin Clark Portrait Colin Clark
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Q Just to follow up on that point, with the likes of Amazon and eBay, or maybe even some internet or app-based system we cannot see yet—I remember suggesting it years ago to supermarkets, and they were furious, because they owned retail sites and did not want to hear about it—you could actually just about bypass normal retail chains completely. Mr Ward, you spoke about the Asda-Sainsbury’s tie-up. That is inevitable, because they think there is a much bigger competitor coming down the road, is there not?

Jack Ward: Yes. I think the fear from a grower point of view is that it just drives the price even lower. The real concern, if they are going to compete ultimately on price, is what that will do to the pressures in terms of trying to produce food in a sensible, balanced and economic kind of way. It does open up new opportunities, undoubtedly, but the big issue is whether it just moves even more of the grocery market into the discount sector. I think that is the real concern.

Helen Browning: The problem with the discount sector is not that it pays less to farmers, but that they are taking less margin themselves, and therefore the mainstream supermarkets feel they need to match those prices, and they squeeze harder. I actually think that a lot of the discount sector can be very helpful for farmers. Ocado and Amazon can work well for smaller-scale producers. As a producer myself, I sell a lot of stuff through Ocado, because it is very straightforward. They will list stuff very easily and they can have more Stock Keeping Units. Therefore they can offer a much wider range of produce than your mainstream supermarket can, so there are opportunities there. The threat is in the competitive pressure that is exerted on those big four supermarkets, which are still where the majority of food is sold.

Sandy Martin Portrait Sandy Martin
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Q Going back to what Kerry McCarthy was asking, do you believe that the production of a comprehensive food strategy could help inform any future regulations that will give effect to the Bill, in order to enable or encourage the production of sustainable and healthy food?

Helen Browning: I would like to think so because that is the other bit of the jigsaw. We are looking here at the production end and particularly at the support elements for farmers. We are not looking at the trade environment, which is going to impact hugely on this, and we are not looking at what is going to happen at the market end or at what will happen through the rest of the supply chain.

In an ideal world, we will be looking at all these bits of the jigsaw together and seeing how they fit together. It is very hard to get this bit of it right with only that base camp in terms of how we will affect farmers’ support into the future. We have no idea of the levels of support that there will be, and that is obviously a factor. The need for it will be influenced by what happens to the trade environment and the market more widely.

It is kind of tricky to do this. What I would ask, given that we do not have that clarity, is that we give broad powers and start to think about the targets. Introducing targets into the Bill would actually give us some destination point and allow the powers to be used in the right way, depending on what else comes through over the next year or so.

Jack Ward: One of the criticisms I have picked up from talking to producers is the lack of reference to food and the promotion of food in the Bill. I think that the food strategy gives the Government the opportunity to redress that issue and spell out a vision for the food industry in the UK. It is our largest food-manufacturing sector; there are opportunities there—there are economic opportunities—and we seem to be at a really good point to take advantage and capitalise on them. I think the food strategy could be hugely influential and send a really important message of confidence throughout the industry.

Agriculture Bill (Fourth sitting)

Colin Clark Excerpts
Thursday 25th October 2018

(5 years, 6 months ago)

Public Bill Committees
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None Portrait The Chair
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Professor Millstone, do you want add anything to that?

Professor Millstone: I agree with my colleagues.

Colin Clark Portrait Colin Clark (Gordon) (Con)
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Q Coming back to the part 1 financial assistance powers, they largely focus on the environment, but clauses 2, 3 and 4 go on to mention productivity. Is there enough in the Bill not to cause tension between environmental payments and food production? How do we avoid that? How do we get the classic situation that we end up with a great deal of afforestation and a reduction in grassland, in particular in the upper parts of the country?

Vicki Hird: That is a good point. My experience over the past few months, discussing this, is of an unnecessarily divided and polarised debate. Clause 1(1), done well and given the resources and infrastructure to deliver—it is absolutely essential to make sure we have adequate resources for training and advice for farmers that links to their business planning—could deliver a farm support scheme that does not separate out the two and that genuinely supports farmers for being farmers and for producing food or other products of the land or for doing agroforestry or forestry, and for doing that in a way that is sustainable. That really is the prize of the Bill, and it should be. It should be built into the new environmental land management scheme.

I am very keen to make sure that that scheme provides the tools for all farmers, not just those who are already doing these things and who are very clever at filling in forms. It must be available to small farmers as well as large farmers, it must be accessible, and it must facilitate farmers to work in cross-farm, landscape-scale, catchment-scale farming schemes, but it must actually be about farming.

The false dichotomy has probably been set up by the fact that there are two subsections where you could have merged the two. From our perspective, the alternative view is to make clause 1(2), which is about productivity, very much connected with clause 1(1), so that any payment for productivity does not undermine the outcomes from clause 1(1)—the public goods that you are also paying for. That would be clunky, but from our members’ perspective—and we have a broad membership—the feeling is that that could be an option.

The final point to mention is the de-linking payments. There is a real risk in terms of public acceptance of the de-linking payments if potentially very large sums of money are going to farmers for no outcome at all for the taxpayer. We can see the need for de-linking in some form, or for some tool to make the break between the old system and the new, but you could be getting something more out of that—I think you will probably hear about that a bit later—and be making sure that it actually delivers on new entrants or diversification or sustainable investment, so farmers can invest in machinery such as small robots, or new, truly welfare-friendly housing, and those kinds of things, and that it is actually directed towards those kinds of outcomes.

The dichotomy is false, and we should not be thinking of it like that, but I can see why it has happened.

Colin Clark Portrait Colin Clark
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Q Professor Marsden, you mentioned security and stability and an amendment to the Bill. How do you avoid that tension? How do we achieve that?

Professor Marsden: One suggestion in my amendment was that, right at the start, you have interlinked and interlocking objectives: promoting farming and food systems for ecologically restoring and protecting the environment, delivering resilient forms of food production and supply, which enhances food security, and improving quality food access, consumer choice and public health benefits. If you put those three things together, rather than in separate subsections, what that conveys is that any financing would have to pass those integrated tests. On the ground, that would effectively mean that it would be re-linking production in many respects. No public financing would be given unless sustainable production was leading to environmental gain or environmental restoration. It is not either/or; it is both together. A lot of research shows that we have spent 20 or 30 years developing very complicated environmental initiatives and processes, but they have been separated from agricultural practice. This is the opportunity to say, “No, we want agricultural practice to be central to delivering on environmental gains.” That is a message that needs to be put right at the start of the Bill.

David Drew Portrait Dr Drew
- Hansard - - - Excerpts

Q Do you think there is any clarity in the Bill on what the mechanism could and should be? Are the existing institutions the right institutions to do this, or should we be inventing new institutions?

Professor Marsden: Clearly, that is an institutional question. There are a lot of institutional questions that this implies that may not eventually need to go into the Bill, but it does obviously have institutional implications.

In my view, all of this is leading to more place-based systems of integrated management of land and the biosphere. One way or another, with bottom-up partnerships or with some level of regional sensitivity, we have to manage regional diversity in the land base of the UK. That means the landholders and stakeholders being fostered to come together in different ways, not necessarily through a top-down, dirigiste infrastructure, but to develop whole tracts of land—not just a farm, but whole regions—such that we have catchments and regions that are much more sustainable and that are delivering the big goals on climate change as well as individual farm landscape. There is a big institutional challenge here to get local diversity and regional diversity at the heart of these sorts of policies.

David Baldock: As you said, the Bill does not spell out how the policy would work. We are all wondering how that might operate, and there have been some indications in a separate paper. This is clearly a source of uncertainty at the moment; you have powers with less specificity about how they are used. In principle, the public goods frame provides a good framework for delivering the right outcomes in the uplands or elsewhere, but it would be helpful to spell out how that will be met and how the local dynamics, which Terry talked about, can be matched with national objectives as well. If we look at the implications of the 1.5 degree target for the UK and for the world, we find that agriculture will have to make pretty significant changes over the next 20 years to the way soil carbon is managed and to the way energy is used in agriculture. That means that you need some strategic vision of where agriculture and land management are going, and you need to spell that out in a series of objectives a bit more clearly so that we do not have a slightly random selection of public goods that are produced according to local whims. I very much support the bottom-up approach, but that must be balanced by some quite clear strategic goals—we know we have them, but they have not been incorporated in a way we can see yet.

Vicki Hird: To add something on your question on institutions, David, we do not currently have the capacity to do that—the capacity is quite atomised. There is a lot of really good stuff on agri-environment, nature and conservation that is not doing the job adequately, because it has not got the capacity. We need to build that up, and it would have to fit with the vision, as David said.

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David Drew Portrait Dr Drew
- Hansard - - - Excerpts

Q On Northern Ireland specifically, you have to take account of what happens south of the border. We should not get into Brexit, but to what extent does this Agriculture Bill have to fit with what is happening south of the border? You obviously have people who farm both sides of the border anyway, so the support system cannot be radically different from that in the Republic, can it?

Ivor Ferguson: I think it can. We fully understand that south of the border they will retain the CAP area payment system. I have been saying that we should not necessarily go along with that. We think that, if the payment structure was of low-level payments on an area basis, it would give us the opportunity to ward farmers on to an activity—producing goods, whether beef, milk or whatever.

The most important thing is that farmers who are actively farming and doing a good job should perhaps receive greater payments, and also related to their productivity and their looking after the environment. At the end of a long day, so long as the system rewards farmers for doing a good job, it does not matter in what way it is developed, because at least the farmers would be rewarded in a similar way or with similar amounts of money. We do not have to deliver it in the same way, so long as we get to the same point in the end.

Wesley Aston: In terms of the importance of the Bill to Northern Ireland, we support the idea of being able to regionalise and have that flexibility going forward. One overarching principle, at a UK level, is budgetary cycles, which are UK-wide, and also things such as standards, which are UK-wide. Those are the areas in the Bill that are important to us. In terms of the support measures, if you like, the ability to regionalise is critical, but at the UK level we have to have certainty around those other issues for all parts of the UK.

Ivor Ferguson: I would like to add on standards that it is so important for us to maintain the standards and to make sure that no food of a lower standard is imported. In Northern Ireland we export at least 80% of our products into the mainland GB market, so any lowering of standards would have a devastating effect on Northern Ireland.

Colin Clark Portrait Colin Clark
- Hansard - -

Q In your submission, NFU Scotland said that the inclusion of a schedule bespoke for Scotland’s agricultural policy needs is important. Would a schedule in any way limit Scottish policy?

Jonnie Hall: No; if the schedule was written in the right way it would be about enabling and it would provide Scottish Ministers with the powers to develop, deliver and implement a Scottish agricultural policy, as is effectively the case under the CAP. That is essentially what we are looking for. It is a choice of which vehicle the Scottish Government choose to use and whether they want the vehicle that currently has its engine running and is sitting in this particular Westminster process, or something that might be brought forward through the Scottish Parliament.

Colin Clark Portrait Colin Clark
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Q Mr Burgess, the same question: would a Scottish schedule in this Bill, such as Northern Ireland and Wales have, limit the Scottish Government in having its own agricultural policy?

George Burgess: That would, of course, depend on the terms of the schedule. I know that DEFRA has worked closely with Welsh and Northern Irish colleagues on the drafting of the schedules included there, so I am sure that if there were a Scottish schedule, it would not simply be handed down from DEFRA. Nevertheless, as I said earlier, with the greatest of respect to this Committee, the starting point for us is that the proper place for Scottish agriculture to be determined and debated and for legislation to be fixed is in the Scottish Parliament. There is no burning platform; there is no absolute requirement for a piece of legislation right now to deal with things immediately post-Brexit. Therefore our proposals, as set out in “Stability and Simplicity”, look in the longer term toward legislation that would start to bring in the simplicity and flexibility at that later point, and that should primarily be for the Scottish Parliament to determine.

Colin Clark Portrait Colin Clark
- Hansard - -

Q On that point, Mr Burgess, would this not provide the opportunity? As the Scottish NFU said, the engine is running on this one, and the two other nations have decided to be involved in it. Would you say, if there was a Scottish schedule that would give certainty to Scottish farmers about payment in the future, that the Scottish schedule would limit Scottish policy? Would it limit the Scottish Government in designing their own agriculture policy, which has been devolved for quite some time?

George Burgess: I am not sure that the schedules give certainty about a future payment system. Most of the Bill and the schedules contain enabling powers rather than precise details of what the future support scheme would be. I am not sure that that contrast between certainty with something in the Bill and the uncertainty of what is happening in Scotland is quite right.

Colin Clark Portrait Colin Clark
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Q Would it limit the Scottish Government in setting their own policy?

George Burgess: As I said earlier, that would entirely depend on the terms of that schedule. We could get into a theoretical argument about whether legislation created by this Parliament could then be amended or overturned by the Scottish Parliament, but I am not sure that is a particularly helpful way to go.

Colin Clark Portrait Colin Clark
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Q I have a question for Mr Clarke: would you welcome an amendment to the Bill to deal with the meat levy with regard to Scotland?

Alan Clarke: The meat levy has been a major issue not only in Scotland, but in Wales. For a number of years—probably from time immemorial—animals have always moved around the UK. Our figures identify that the leakage from Scotland of animals that are born and reared there but then processed in England means that about £2 million of levy money that should be Scottish is trapped in England. On average, 75% of that comes from producers and 25% from processors, so even if the producer levy could be repatriated to Scotland, it would still be a figure in the region of £1.5 million.

A lot of work has been done behind the scenes on this. The Scottish Government in particular have been leading on it and trying to put some of the processes and procedures in place that could help with it. We have an interim solution at the moment, which is called the ring-fenced fund. The ring-fenced fund is £2 million of levy collected in England by the Agriculture and Horticulture Development Board. It has to be ring-fenced and used for the benefit of levy payers in England, Scotland and Wales. If we look just at having an equitable part of that £2 million, in theory £666,000 could be valued to Scotland, to Wales and to England respectively. In reality, the money does not change hands.

That is only part of the issue. We would very much welcome a long-term solution that had the opportunity to look at the size of the issue; as I say, Scotland on its own is a minimum of £1.5 million annually.

Martin Whitfield Portrait Martin Whitfield (East Lothian) (Lab)
- Hansard - - - Excerpts

Q Just to pursue that point regarding the red meat levy, it is my understanding that to make the amendments you need a piece of primary legislation. Has there been any primary legislation since, shall we say, 2006? That was not the start of the challenges with the levy, but certainly problems date from then. Has there been any opportunity to change it until the Bill that is before the Committee?

Alan Clarke: I joined Quality Meat Scotland 16 months ago, so I came in during part of this. It has been an issue for many years. We have a real example of the three levy bodies—QMS, the Agriculture and Horticulture Development Board, and Hybu Cig Cymru, or Meat Promotion Wales—working together really well, this year in particular. We are working on a range of projects. I have just come back from SIAL—Salon International de l’Alimentation, or Global Food Marketplace—in Paris, where we have been exhibiting together on joint stands. We are doing market access work. We have just signed off a £500,000 programme to promote the benefits of red meat in England, Scotland and Wales.

There is certainly evidence that we can work together, but it is not the long-term solution that we need. I am comfortable saying that in the long term the three levy bodies will continue to work on pre-competitive issues, but at the moment we do not have full control over all that money. Approximately 34% of the money is coming back to Scotland at the moment. There is now a real opportunity. The Bill is here, and the engine is running, to quote Jonnie, so let us get on with it.

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Philip Dunne Portrait Mr Philip Dunne (Ludlow) (Con)
- Hansard - - - Excerpts

Q Mr Burgess, you are very welcome. You are in an invidious position, if I may say so, in coming to this Committee, and I am very pleased that you have. In the light of what you just heard from Mr Hall, what confidence can the Committee and Scottish farmers, particularly those whose farms cross the border, have, given the lack of engagement by the Scottish Government? Absent what you just told us about the letter, which we get to see in your proposed amendment, what confidence can the Committee and farmers have that the Scottish Government will respond to the call from its farmers to have common standards with the rest of the UK?

George Burgess: Essentially, the Scottish standards and arrangements are not changing here; it is the ones on the other side of the border that will change. Under the powers in the Bill, as yet we do not know quite what they will change to. We know what the Scottish standards are, but we do not know quite what the English standards will look like. Any disparity would arise in that situation as a result of a change in England rather than a change in Scotland.

Colin Clark Portrait Colin Clark
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Q In one of the pieces of evidence we heard today, Jack Ward of the British Growers Association said it would be a nightmare if we had four producer organisation schemes. That is not about cross-border farming or farms; that is about strawberry growers in Angus working with strawberry growers in Kent; and equally, potato growers in north-east Scotland operating with potato growers in Lincolnshire. We have spoken about common frameworks, but surely, for the sake of the unitary market of the UK, we must have an absolute, concrete commitment that we will not have market- altering divergence. Can you foresee a situation in which we had four producer organisations?

George Burgess: It is important to understand the way the producer organisation recognition system operates at the moment. This is a devolved area, but one in which all the Administrations, in our case through agency agreements, have chosen to delegate the function to the Rural Payments Agency. There is one body that does the work on behalf of all the Administrations. That system works well in a number of other areas that I am aware of. We are certainly not proposing that that should change. That it is devolved has been well recognised. There was a court case in recent years—a challenge to a Scottish-based producer organisation. Although the work was done by the RPA, the Scottish Ministers were ultimately in the frame.

We have absolutely no difficulty with a system of producer organisations. We do not quite see the need to have the provisions in the Bill, given the existing European provisions on producer organisations. All that we are suggesting through our amendments is that, in relation to Scotland, to mirror the existing position—nothing new—the powers should be with the Scottish Ministers. I would fully expect them to be delegated in turn to the Rural Payments Agency, as they are at present.

Colin Clark Portrait Colin Clark
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Q Do you perceive a risk of divergence? Is that not fundamentally the point, whether it is on the frameworks or on the producer organisations?

George Burgess: If we look at the producer organisation provisions that we have here, and at the amendments that we have proposed, none of them would create that risk any more than it exists at the moment.

Jonnie Hall: I agree with Mr Burgess.

George Eustice Portrait George Eustice
- Hansard - - - Excerpts

Q Mr Clarke, the Government are under pressure from the other Mr Clark around the table, my hon. Friend the Member for Gordon, and from my hon. Friend the Member for Brecon and Radnorshire, to give consideration to an amendment that would enable some transfers of levy payments between levy bodies, but only with the agreement of the relevant Governments or of the Secretary of State and the Scottish and Welsh Ministers. It is a bit problematic in the absence of a legislative consent motion, because it would explicitly affect something that Scottish Ministers could do. If that amendment were to get some support, should the Scottish Government bank that advantage and grant the LCM on the Bill?

Alan Clarke: I made the point earlier, when I was asked whether there was a particular vehicle that could be used, that I thought the amendment was a really good vehicle, because it is timely and it is opportune. The reality is that we need a solution.

We have shown that the three organisations can work really well together, but we are not maximising our potential. If we can get the full £1.5 million back to Scotland, and the same value back to Wales, using a mechanism that the three organisations would agree, we will have a real opportunity. If that amendment were made to the Bill, and a process was put in place to make it happen, that could happen very quickly. That would be a real benefit, particularly to us in Scotland, and to Wales. We can show evidence of what we have done working together over the last 18 months, and, as I said earlier, we would continue to do that.

George Burgess: The Scottish Government have been seeking an amendment to deal with the red meat levy issue, as Mr Clarke said earlier, and have been asking for the Agriculture Bill to be used for that. I prepared a detailed policy paper on the subject more than a year ago and I have been discussing it with DEFRA officials since.

We do not yet have a commitment from the United Kingdom Government to use the Bill as a vehicle to deal with the red meat levy, but we hope that that commitment will be forthcoming. I have heard that two amendments deal with the subject, and we will look at those with great interest. It is certainly something that the Scottish Government have been seeking.

Jonnie Hall: May I add the weight of NFU Scotland to that, to support the Scottish Government and Quality Meat Scotland? The Bill is a clear opportunity to resolve an issue that has been ongoing for several years. We have waited for the right legislative vehicle. This is a clear moment to get the right amendment in the Bill and make it happen.

Agriculture Bill (Second sitting)

Colin Clark Excerpts
Tuesday 23rd October 2018

(5 years, 7 months ago)

Public Bill Committees
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Martin Whitfield Portrait Martin Whitfield (East Lothian) (Lab)
- Hansard - - - Excerpts

Q This a very straightforward question, but I am not sure you are the person to comment on it. Do you think in this primary legislation an opportunity could be taken to resolve the red meat levy discrepancy between Scotland, Wales, Northern Ireland and England?

Andrew Clark: For fear of breaking into devolved discussions, I suspect that the Agriculture Bill is not the right place. I suspect that the reform of the Natural Environment and Rural Communities Act 2006 that set up the Agriculture and Horticulture Development Board in the first place, might be the appropriate place. Whether legislation is the way to sort that out or having the parties sit round the table and come to agreement, it is part of a wider issue, which again is perhaps not covered in the Agriculture Bill as much as it should be.

Scotland is absent, as we know, from the schedules, which from a UK farming perspective is concerning. We would like to see a common framework in agreed areas across the whole country, because that benefits every farm business and allows the free flow of goods and services and agricultural activity across the whole UK economic area.

Colin Clark Portrait Colin Clark (Gordon) (Con)
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Q World Trade Organisation rules have come up as a potential concern—that could constrain payments such as less favoured areas or coupled support. It has been said that the Secretary of State could potentially limit devolved Administrations or even England. In earlier evidence, the Royal Society for the Protection of Birds said that WTO concerns were a red herring. Is it a concern you share, considering that we have an aggregate measure of support in the amber box? Are you concerned about the WTO being an issue?

Andrew Clark: There is clearly an obligation on the UK to be a responsible party to the WTO. However, the measures that have taken place that can influence that compliance and participation are devolved to individual parts of the UK and the Governments there. I think that devolution should be respected, but the Governments in each part of the UK need to come together, compare and agree an approach that works for every part of the UK.

We are concerned that, although there might be no intention at the present moment for some of these powers that are granted under the Agriculture Bill to be used by Ministers, this Bill could last 40 years. It could be another decades-long power. Those powers could be used very differently by different Administrations in future. In terms of the WTO obligations and powers, we are not sure how those powers might be used in future.

It is clear that we need to get some more clarity about the powers. That applies not just to the WTO provisions but to many other powers. I think the House of Lords Delegated Powers and Regulatory Reform Committee counted 26 new powers granted to Ministers across the Agriculture Bill. We need to have clarification about how those powers are going to be used, in order to have the full sight of Parliament and stakeholders such as the NFU on those detailed concerns.

Colin Clark Portrait Colin Clark
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Q To follow up, as the amber box is as much as £3 billion, it would be highly unlikely unless an entire payment were to go into the amber part of the WTO, where that could be a concern. It is hypothetical as opposed to realistically going to arise, isn’t it?

Andrew Clark: At present, it is hypothetical, but the point I am trying to make is that there is delegated ability to take action in each part of the UK. There needs to be agreement about how that is played out in a mature and professional way. I wouldn’t go as far as saying it is impossible. Clearly, £3 billion spent on an amber box in one country is impossible. We do not know what the total budget would be either. There are a number of factors around there that are still uncertain. What we would like to see is agreement between the devolved parts of the UK and Westminster about how that is taken forward and how those powers are deployed.

Sandy Martin Portrait Sandy Martin (Ipswich) (Lab)
- Hansard - - - Excerpts

Q I note your contention that there is not enough focus on food production in the Bill. Would you agree with me that there is also not enough focus on the delivery of safe and healthy food? Would you support a duty on the Secretary of State to support the development of local supply chains and other measures in order to ensure delivery of safe and healthy food?

Andrew Clark: I am not sure I would go as far as a duty, but that is the sort of thing the NFU would like to include in the policy measures that are available and follow from that. Certainly, one of the objectives of food security could be strengthening and building local supply chains, both to private citizens and to the public sector as well.

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Kerry McCarthy Portrait Kerry McCarthy
- Hansard - - - Excerpts

Q The number of cases has risen significantly, which is why it has been reported. Do you have a feeling as to why that is?

Dr Fenwick: No, but the detection, containment and restrictions on most farms are testament to the fact that we have a very good system of detecting problems and clamping down on them when they do occur. Going back to your initial question, the concern would be if we opened the floodgates to places where their standards fall well below those that are a legal requirement here, then we open the floodgates to far worse problems than we would ever see in the UK.

Colin Clark Portrait Colin Clark
- Hansard - -

Q I am a little bit concerned. We share similar issues in Scotland, where we have a lot of upland farms. If tree planting was too generous, we could lose a lot of upland farms. Also, the measurement of carbon sequestration for grassland and the sheep eating it is a very different thing to measure compared with trees. Are you worried that if the policy is too generous, we could lose land to trees and never get it back? What would you like to see in the Bill? Is there some sort of balancing priority that gives equal status in your mind to food and farming?

Dr Fenwick: I referred earlier to the biggest changes since the Agriculture Act 1947. Those changes are the fact that we are moving away from what we currently have, which is an active farmer rule. Notwithstanding all the different changes that have happened since we went into the EU and moved away from the Agriculture Act and had various different CAP reforms, we have still ended up with an active farmer rule that is underpinned by the principles that were originally in the 1947 Act, were later incorporated into the treaty of Rome and are now in the Lisbon treaty. Those principles are about ensuring that active farmers receive the bulk of payments, which can then be distributed through rural supply chains and more widely.

We are moving from that system to what the Welsh consultation calls an “open to all” approach, under which someone who lives in London and fancies buying a bit of land in Wales to plant trees can claim money for doing so, while making no contribution to the local economy, the local schools or the local community. We saw the same thing happen in a different way, which we hope will not be repeated, when vast areas of Wales were bought up by private forestry back in the ’70s. We also saw it when entire communities, including schools, chapels and hundreds of farms, had their land planted up by the Forestry Commission. That is an acute concern.

Europe is tightening up its active farmer criteria to prevent people outside the industry from accessing money, because it recognises the key part that farms play in distributing money in rural economies. I am afraid to say that it looks as if we are moving in exactly the opposite direction.

John Davies: It is a very fair question. A simple, one-dimensional answer is that, yes, planting trees can mitigate the carbon challenges, but I think we need to be seen as part of the solution. There are many things we can do to improve our carbon footprint, and we are up for engaging with that challenge. In the past year or so, at home we have planted 10,000 trees in corridors for protecting hedges and the like, and it has worked really well.

I farm in partnership with the environment. It is an indivisible part of my business, so it is not a binary choice. My wish, my desire and my raison d’être is to hand on my business in a healthier state than I received it. That is no criticism of past generations; it is just the challenge that we face. We have the opportunity to be carbon free by 2050. We need to ensure that all of those mitigation choices are utilised, rather than taking simple, one-dimensional options.

Colin Clark Portrait Colin Clark
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Q Do you feel that food and farming have the right balance in the Bill? Is that what you are concerned about?

John Davies: We need more balance. We need more recognition of the challenges we face, and we need carbon mitigation to be given more of an opportunity.

None Portrait The Chair
- Hansard -

Have you anything to add, Mr Thomas?

Huw Thomas: No.

Agriculture Bill (First sitting)

Colin Clark Excerpts
Tuesday 23rd October 2018

(5 years, 7 months ago)

Public Bill Committees
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Robert Goodwill Portrait Mr Goodwill
- Hansard - - - Excerpts

Similarly, I draw the Committee’s attention to my entry in the Register of Members’ Financial Interests, particularly my membership of the Country Land and Business Association and the National Farmers Union. I have a family farm in North Yorkshire of 250 acres, which we have farmed since 1850. We are currently engaged in a high-level environmental scheme on that farm.

Colin Clark Portrait Colin Clark (Gordon) (Con)
- Hansard - -

Can I declare my interests? I am a farmer in receipt of the single farm payment. I am a member of NFU Scotland and an organic producer.

None Portrait The Chair
- Hansard -

I now ask the witnesses to state their names and the organisations they represent for the record.

Gilles Deprez: I am Gilles Deprez, the managing director of Greenyard Flowers. We are a farming operation in Cornwall specialising in the production of daffodils.

Thomas Lancaster: I am Tom Lancaster, principal policy officer at the RSPB. I lead a lot of our work on current and future agriculture policy.

Patrick Begg: I am Patrick Begg, outdoors and natural resources director at the National Trust.

Martin Lines: I am Martin Lines, UK chair of the Nature Friendly Farming Network and an arable farmer in Cambridgeshire.

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Deidre Brock Portrait Deidre Brock
- Hansard - - - Excerpts

Q Can you give us some examples?

Thomas Lancaster: Yes. We want to see a duty in the Bill to have an environmental land management scheme in England. At the moment, it provides the powers for that, but there is no certainty about whether Ministers will choose to use them. That is one of the few backward steps from the common agricultural policy, which through its rural development programmes requires member states to have an agri-environment scheme. Because of that requirement, there are four agri-environment schemes across the UK.

A second duty that we have called for is an annual assessment of the funding required, particularly to meet the purposes in clause 1. A third is for current and future Ministers to use the powers in the Bill to improve transparency in the supply chain and strengthen the position of the farmer in it.

Patrick Begg: I back up what Tom says. I am not sure that our organisation is worried about the powers, but we will certainly be asking for duties to fill the gaps, such as a duty to create multi-annual payment settlements. That is not exceptional; the Highways Agency do it and the Environment Agency do it for flooding. It is a question of creating confidence and certainty within the farming industry that it will stick and that people can invest with confidence. We would also wish for a duty to get an independent assessment of the quantum of money required to deliver the aspirations set out in clause 1.

Martin Lines: There are lots of powers in the Bill, but the concerns for farmers in the network are about who can use them and how, and what triggers them. Some of those powers should be duties. It is about the long-term view of how we need to manage and be managed as farmers.

Gilles Deprez: My two main concerns are about points that I have highlighted. The first—I am not sure whether it is right or wrong—is about being competitive, not only with UK farmers but worldwide, because we are a very fragmented market.

My second concern is that innovation is not really highlighted in the Bill. In chemistry, for example, there is a kind of mutual recognition: if one country recognises something as an innovation, it goes through the system a lot more quickly. I do not see that in the Bill. We must not block innovation; it needs to be key in business, in order to look at the future and be competitive.

Colin Clark Portrait Colin Clark
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Q ADAS produced a report in 2016 that stated that a

“‘Public Money for Public Goods’ approach…would be a radical change and one that would certainly need to be tested for efficacy before adoption.”

Do you agree that the seven-year transition will be adequate for testing? We have heard from Mr Lines that people already have good practices. Is seven years enough time to activate a policy, considering how long it takes to grow hedges, trees and cover? Or will we have to come up with policies like those that you are already using, Mr Lines, on your farm? Patrick Begg, you mentioned the public good.

Patrick Begg: Yes. Seven years is actually a little bit longer than we have called for, but I can see why that was done; the last thing we need is a cliff edge. If you think about it, it is in fact 10 years from now—a seven-year transition is effectively 10 years from today, give or take a month or two. If you consider change programmes—this might be one—generally speaking, you need to get going with stuff, and the sense of urgency is a good stimulus for things to happen well. I think the balance of seven years is probably about right in the end.

DEFRA has a programme of tests and trials work that starts next year. That will start to land on the ground, and we will be able to test mechanisms. On seeing outcomes, we have plenty of evidence of the things that work; I do not think we necessarily need to test the outcomes. We know how to deliver the things that have been set out in the Bill; the issue is just the mechanisms by which the farmer is adequately supported to make the change and to deliver those in an effective way.

Colin Clark Portrait Colin Clark
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Q This is a question for Mr Lines. I am a practising farmer myself. There have been EU environmental policies that have not worked: the three-crop rule ended up being quite damaging, and even set-aside created an enormous weed bank. Are you satisfied that we will avoid those mistakes?

Martin Lines: I am only satisfied if we are going to engage as farmers and have input into how this will be managed. We want practical farmers engaging in what will be the land management plan, and in what we can achieve. Through stewardship in the last 20 years, we know what can be done, what cannot and what does not work in different areas. The network has a whole number of farmers—me included—who want to get out of the current system as quickly as possible and move on to the new system, because it just does not work for my farming business. It is over-bureaucratic. It measured down to 10 cm around the edges of my fields. Let us have a holistic, balanced approach to how we produce stuff; let us have the environmental measures around the outsides or in different parts of the field that fit my farming system, and let us be flexible on how I want to deliver that farming system—and let us, hopefully, be rewarded well for that by the marketplace for the food I produce, and by the public payments for the other areas. Ten years is plenty long enough for me to get on with that.

Thomas Lancaster: I would agree that the timeframe in the Bill is enough from our perspective. It is welcome that that timeframe is in the Bill. Once it is set, we just need to stick to it, because if we do not, we will get this sort of Brexit drift—there is so much other stuff going on that the temptation will be to kick the can down the road, which will not serve anyone’s interests.

We would like to see a bit more policy richness and detail around the transition, not just on the time and the piloting of land management schemes and how the public good element is going to be provided, but also on how we can transition to a sector that is more market-facing, more profitable and more resilient to market fluctuations. Importantly for us, there are sectors where there is no real culture of thinking about profitability first. The evidence pack that came with “Health and Harmony” showed that there were whole sectors where business planning was down at 17% or 18%. We think there is a role for the Government and for the sort of active state that the Prime Minister has talked about, in terms of investing in business and skills advice, knowledge exchange, research and development and those sorts of areas through the transition, to enable farmers to get to the point where they get a market return for the food they produce, and also a return from public payments for the non-marketable services and goods that they provide.

Colin Clark Portrait Colin Clark
- Hansard - -

Thank you.

Baroness Chapman of Darlington Portrait Jenny Chapman (Darlington) (Lab)
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Q For better or worse, you have operated within a framework guided by the European Union for as long as probably all of you have been in the business. You have talked about mutual recognition and standards. Do you think the Bill could be doing more about not just undercutting within the UK, which you have talked about, and within different nations of the UK, should they choose to take different paths on some issues, but also about undercutting from overseas imports in the future? How significant a risk do you see that as being, and do you think this Bill is doing anything that could help relieve that anxiety?

Patrick Begg: I would say it is a very significant risk. You would find cross-sectoral agreement that more needs to be done—probably in the Trade Bill—around ensuring that imports do not undercut the environmental standards we already have and are talking about cementing for the future. Without that, it is a huge risk.

Martin Lines: Trade deals are going to be massive. We do not just want to have high standards here and export our environmental footprint; we want to be leading here, exporting those high standards, and buying produce from abroad that matches those high standards. There is a lot of concern around that.

Thomas Lancaster: I would agree, certainly on international trade, standards and imports. As Patrick says, we are speaking with one voice with the National Farmers Union and the Country Land and Business Association and other farming and food organisations on that point. In terms of UK co-operation, agriculture is a devolved policy, and it is right that individual devolved Administrations should have the flexibility to develop policies that are right for their country. We would like co-operation on issues such as how those policies are designed and how we can prevent market distortion. From our perspective, environmental challenges are transboundary—there are shared catchments that span borders within the UK—so how will we secure environmental outcomes across boundaries through future agriculture policy? That is a huge unanswered question.

Martin Lines: I would like to see the Government leading the way in procurement of their own food. Governments throughout the UK buy huge amounts of food. Where are you setting the higher standards in trying to procure that food locally and sustainably, and leading the way? That sets the direction for the rest of the public to follow.

Agriculture Bill

Colin Clark Excerpts
Wednesday 10th October 2018

(5 years, 7 months ago)

Commons Chamber
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Colin Clark Portrait Colin Clark (Gordon) (Con)
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The hon. Member for Edinburgh North and Leith, that famous farming constituency, is making a powerful speech.

“The Scottish Government’s climate change ambitions…pose a bigger threat…than Brexit”.

They are not my words, but those of Jim McLaren of Quality Meat Scotland. Would she care to comment on that?

Deidre Brock Portrait Deidre Brock
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I appreciate the hon. Gentleman’s intervention, although I do not really appreciate the snide remarks about Edinburgh North and Leith, because people there actually eat and they are interested in food.

Returning to my subject, which was food, there is plenty in the Bill to allow Ministers to gather information about food chains and to interfere where they see fit, but nothing about how it will change the structures or the framework around producing food or how Ministers might want to protect, improve and increase food production, food security or food quality. We really need to know a bit about the direction of travel. There is nothing in the Bill that tells us, and the public pronouncements of the DEFRA Secretary suggest a move away from support for food production—or farming, as I like to call it—towards a style of support that would be perfect for managers of large estates, but not those with less land. Grouse moors could benefit, but farmers will not.

None of that detail is in the Bill. There is nothing even to suggest a route map, far less lay out the steps that the Government intend to take. There is nothing about the proposed support mechanism. That is massively important. A farm in Cambridgeshire is very unlike a farm in the Yorkshire dales and even more unlike a farm in Sutherland, where my parents-in-law live, let alone one on Scotland’s islands. Promises were made to Scottish farmers that Brexit would not see them losing cash, at the same time as convergence cash intended for farms in Scotland was being distributed elsewhere, as my hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown) mentioned.

--- Later in debate ---
Colin Clark Portrait Colin Clark (Gordon) (Con)
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I welcome—patiently—the Bill, which puts in place the necessary changes as we leave the EU. I am truly delighted to follow my hon. Friend the Member for Banbury (Victoria Prentis). She may represent a beautiful county, but of course I represent the most beautiful constituency. I draw hon. Members’ attention to my entry in the Register of Members’ Financial Interests. I am a conventional farmer—an organic farmer—I am a producer and I receive the single farm payment. This gives me an intimate knowledge of the industry.

The Bill focuses mainly on public money for public goods, and we are evolving from a common market. The Bill and future legislation will create a framework and support specific to the UK and the devolved Administrations. I welcome that. Like other Members, I want to see food production and farming in the Bill. Financial assistance for environmental purposes is laudable, but I believe that productive agriculture and the environment are mutually inclusive.

We have moved past the grubbing up of hedges and updated our pesticide and chemicals usage. In 30 years in agriculture—yes, it is hard to believe—I have seen leaps and bounds. I do not recognise some hon. Members’ characterisation of what farming is. We have moved a long way in 30 years. Farmers are the guardians of the land and the countryside. The longevity of that land is so important, and family farming, on whatever scale, looks to hand it on in a better state than it was received in. Upland farming must be protected by the Bill.

Part 1 of the Bill focuses on public money for public goods, encompassing the importance to rural and urban populations. I recognise that. I also take comfort from the Secretary of State’s words on food security and access to wholesome, well-produced and affordable food. I hope to see the Bill evolve.

On that point, I would like to mention schedule 3. It is very important that two SNP MPs, fellow Scottish MPs, are here. Schedule 3 is a very important provision, which relates to Wales. I hope that the Scottish Government see sense and follow Wales by being included in the Bill. There is scope to provide flexibility. Carping about a power grab fools no one: they are neglecting farmers and crofters in Scotland. They are compounding the rural payment disaster that sees Scottish farmers totally confused about payments. They still have not received their 2015 money. The Scottish Government should embrace the Bill, make provision for payments—if they do not do that here, they cannot do it in Holyrood—and work with DEFRA to add a Scotland schedule.

Deidre Brock Portrait Deidre Brock
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Specifically on the payments point, the hon. Gentleman may not have seen the press release today, which clarifies that, under proposals in the Scottish continuity Bill and the European Union (Withdrawal) Act 2018, existing European law will be rolled over, ensuring that the Scottish Government retain the legal ability to make the farm payments beyond March 2019. To suggest otherwise is inaccurate.

Colin Clark Portrait Colin Clark
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There is the contrast: the Welsh Administration are trying to work for their farmers and the Scottish Government are politicising the deal.

Lord McLoughlin Portrait Sir Patrick McLoughlin
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Does my hon. Friend think that, once the Bill has gone through its parliamentary stages, the Scottish Government will complain that they do not have the powers they need?

Colin Clark Portrait Colin Clark
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I truly hope that if SNP MPs are listening to the industry, they will introduce a schedule to the Bill as it progresses.

The north-east of Scotland is a traditional area of agriculture, with high organic matter. Leaving the EU is a massive change, but it is also a huge opportunity. I welcome the fact that the Bill addresses retiring farmers, something I am not planning to do for a long time. It is disappointing that the Scottish Government’s right to buy has undermined the rented market in Scotland and young entrants are not getting in because there is no access. Yet again, the Scottish Government are neglecting the farming community. I hope that the Bill will encourage new entrants. I applaud my right hon. Friend the Member for Newbury (Richard Benyon), who is no longer in his place, for his recognition of young farmers.

I would like to highlight the 2016 ADAS consultation on public money for public goods. It raised a few issues of which we have to be very conscious. It recognised that Brexit is an opportunity to address these issues. It defined public goods as consumed by society as a whole, not necessarily by individual consumers. It draws a contrast between food and energy as private goods. If we create a differential, an environmental or standards cost, ADAS recognised that this could risk the competitiveness of UK producers. I would therefore like clarity from the Minister on who compensates or buys the public good when we set higher standards. It is not that I want to drop standards; I just want to understand who compensates farmers.

ADAS was very clear that moving to public money for public goods would be radical and would need testing. I welcome the fact that there is a transition period, because we have to check its efficacy during adoption. Modern productive agriculture does not have to undermine the environment; it goes hand-in-hand with the environment. Many Members have reminded us that every acre of this island and this Union has been created and shaped by agriculture in some way.

The good farmers of Gordon stand ready, with the opportunity of Brexit when we negotiate our free trade deals, to grow more malting barley for export to the rest of the world. The Bill must accommodate productive farming. I echo the words of my hon. Friend the Member for St Ives (Derek Thomas). We need access to labour for our factories, our abattoirs, our fish processing factories and our food factories. That is very important. I want to see the back of one-size-fits-all EU interference. I want to see the UK internal market protected. Most of all, I want to see a Scottish schedule in the Bill.

Oral Answers to Questions

Colin Clark Excerpts
Thursday 12th July 2018

(5 years, 10 months ago)

Commons Chamber
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Colin Clark Portrait Colin Clark (Gordon) (Con)
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10. What steps he is taking to enable farmers to grow produce in a more environmentally sustainable way.

Michael Gove Portrait The Secretary of State for Environment, Food and Rural Affairs (Michael Gove)
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The Government have pledged to work with farmers, food producers and environmental experts across Britain to devise a new agri-environment scheme to be introduced in the next Parliament.

Colin Clark Portrait Colin Clark
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What provisions is my right hon. Friend’s Department making to maintain high environmental standards in farming in case of no deal?

Michael Gove Portrait Michael Gove
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The Department is undertaking significant steps to ensure that high environmental standards are maintained not just in farming but across the piece in the event of the country leaving the European Union in March 2019 without a deal, but of course it remains the commitment of this Government to secure the best possible deal for Britain.

Plastic Bottles and Coffee Cups

Colin Clark Excerpts
Thursday 17th May 2018

(6 years ago)

Commons Chamber
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Mary Creagh Portrait Mary Creagh
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I agree with the hon. Lady. I know that Heathrow has introduced refill stations just the other side of the security gates, but the problem is that people are usually already in the queue for security before they remember that they have a full bottle of water. Most people cannot drink half a litre of water straight off. Airports could look at how to dispose of those liquids while encouraging people to keep the bottles. That would result in more reuse. That is a challenge for the airports and the transport industry to think about today.

Reducing and reusing are always better than recycling, and the 5p plastic bag charge reduced plastic bag sales by 83% in the first year, so we know that charges change consumer behaviour. My Committee recommended a 25p latte levy on disposable coffee cups to encourage people to bring their own cups. We want that levy to fund new “binfrastructure”. That is terrible; I am trying not to murder the English language, but I think I have just stuck a nail in there. The Chancellor is consulting on a single-use plastics tax, and I look forward to reading the responses. The consultation closes tomorrow.

Industry is stepping up to this; it knows that it cannot go on with business as usual. Costa has introduced a recycling scheme that aims to recycle half a billion cups by 2020. Unfortunately, only 14 million cups were recycled last year, but that was a good start. Starbucks is trialling a 5p latte levy in 35 central London cafés, and reusable cup usage has more than doubled in the first six weeks, which is very encouraging. The truth is, however, that we need both. We need the latte levy and we need recycling schemes if we are to tackle this problem.

Colin Clark Portrait Colin Clark (Gordon) (Con)
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The hon. Lady is making a powerful speech. I am also a member of the Environmental Audit Committee, and she is a wonderful campaigning Chair. It is a great honour to serve with her.

The hon. Lady is talking about recycling, and I was recently at a circular economy discussion at which WasteAid said that 2 billion people lived without waste collection and that 3 billion lived without proper waste recycling or reuse. One of the big things we discussed was the use of plastic bottles in the developing world where glass bottles used to be used. Does she think it would be better if glass bottles were used in the developing world?