Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what steps his Department plans to take to support farmers with the increased costs of food production, in the context of rising fuel and energy costs.

We understand that the global spike in oil and gas prices has affected the price of agricultural commodities, which are always closely correlated to energy costs. The Energy Bill Relief Scheme will provide a price reduction to make sure that all businesses, including farmers, food producers, manufacturers and packagers, are protected from excessively high energy bills over the winter period.

HM Government is also supporting businesses to improve their energy efficiency by at least 20% by 2030. This could deliver up to £6 billion in cost savings by 2030. We have extended the Energy Intensive Industries Compensation Scheme by three years and more than doubled its budget.

We recognise that for the pig and poultry sectors, animal feed is a substantial input cost. As of 1st June, we have successfully concluded the removal of Section 232 tariffs, allowing us to remove the 25% tariff on US maize imports, a key ingredient for animal feed.

Defra has a collaborative relationship with industry which allows us to effectively respond to disruption, should it occur. This was successfully demonstrated in response to unprecedented disruption to both supply and demand throughout COVID-19.

We continue to keep the market situation under review through the UK Agriculture Market Monitoring Group, which monitors UK agricultural markets including price, supply, inputs, trade and recent developments. We have also increased our engagement with industry to supplement our analysis with real time intelligence.