I move that the Bill be now read a Second Time. The purpose of this Bill is threefold. Firstly it incorporates in permanent legislation certain powers in connection with the fixing of prices for pigs which have hitherto been provided by Emergency Powers Orders; secondly, it continues certain prohibitions in regard to pigs of a colour other than all white, which also were provided for by an Emergency Order; and thirdly, it amends the Pigs and Bacon Acts in a number of minor respects.
As regards the fixing of prices for pigs, the Pigs and Bacon Acts of 1935 and 1937 established a system of fixed prices for pigs purchased by bacon curers, the price being fixed by the Pigs Marketing Board up to the end of 1939 and by the Pigs and Bacon Commission thereafter. This arrangement lacked flexibility, and experience showed that it was not in the long-term interests of producers, especially those who marketed the best pigs. In 1943 the system of fixed prices for pigs was suspended by an Emergency Powers Order, and instead the Pigs and Bacon Commission was required to prescribe minimum prices for pigs purchased by curers. In practice, however, pig prices were allowed to find their own level and that position obtained up to April of this year, when the export price guarantee scheme for grade A bacon was introduced. In connection with that scheme it was arranged that producers should receive a minimum price of 235/- per cwt. dead weight for grade A pigs between the weight ranges of 1 cwt. 0 qr. 8 lb. and 1 cwt. 2 qr. 0 lb., and 230/- per cwt. dead weight for grade B 1 pigs between the weight ranges of 1 cwt. 2 qr. 1 lb. and 1 cwt. 2 qr. 7 lb. delivered to bacon factories during the period up to 31st March, 1957. So as to ensure that these minimum prices were observed by all curers, it was decided that a minimum price Order applying to grade A and grade B 1 pigs should be made by the Pigs and Bacon Commission and in order that this might be done without interfering in any way with the prices for other grades of pigs or for pigs purchased by curers on a live weight basis, which cannot be graded, the 1943 Order had to be amended.
Notice taken that 20 Deputies were not present; House counted, and 20 Deputies being present,
What the Bill now proposes to do is to continue the power of the Pigs and Bacon Commission to fix minimum prices for factory-purchased pigs, i.e., pigs purchased by curers on a dead weight basis. The Bill also continues the suspension of the system of fixed prices for pigs established by the prewar Pigs and Bacon Acts, but provides that the suspension may be removed and reintroduced at any time by order of the Minister for Agriculture.
As regards the prohibition in connection with pigs of a colour other than all white, only Large White boars have been eligible for licensing in this country since 1936. This licensing requirement was introduced on the recommendation of the Live Stock Consultative Council and was endorsed by the Commission on Agriculture in 1939. In 1951 coloured, that is, black or black and white pigs, which could only have been smuggled or else have been the progeny of pigs smuggled from the Six Counties, were appearing here and the Pigs (Unsuitable Types) Order, 1951, was made so as to counter the damage that could be done to our pig stocks by those pigs. Occasional coloured pigs are still being detected and it is necessary to continue the powers provided by the 1951 Order.
As regards the amendments of the Pigs and Bacon Acts, the Bill provides that the Pigs and Bacon Commission may transfer moneys from its general fund to its stabilisation fund. The need for this provision arises in connection with the export price guarantee scheme for grade A bacon which is being partly financed by a levy on all pigs used for bacon production. At present the receipts from such a levy must be paid into the commission's general fund but export subsidy may be paid only out of the stabilisation fund. The Bill also provides for the payment into the stabilisation fund of any moneys contributed by the Exchequer from time to time towards meeting subsidy on bacon exports.
The other amendments of the Pigs and Bacon Acts are all designed to facilitate administration. Two of these concern registered pork butchers. The accounting period in connection with the payment of fees by such butchers is being extended from one month to six months. The total amount of these fees is very small and the extension of the present short accounting period will facilitate administration without inconveniencing pork butchers.
The second amendment in relation to pork butchers is that provision is being made for the cancellation of the registration of a pork butcher on the application of the registered person or where the business of pork butcher has not been carried on at the registered premises during the whole of the preceding 12 months. Registered pork butchers have asked from time to time that their registration be cancelled and some registered premises are either no longer in existence or are being used for other purposes. At present, however, nothing can be done in such cases as the registration of a pork butcher may be cancelled only if the butcher is convicted of certain offences. Finally the Bill amends the Pigs and Bacon (Amendment) Act, 1939, so that the Pigs and Bacon Commission will not necessarily have to fix a rate of export subsidy on bacon before the date of export of the bacon. This amendment also is required in connection with the operation of the Export Price Guarantee Scheme for Grade A bacon. Under the scheme curers are guaranteed a minimum export price and the rate of subsidy depends on the average market prices realised but as matters stand the commission would have to declare the rate of subsidy before the exports took place and the rate could not be varied in accordance with the actual prices realised.
I would like to mention to the House that on the Committee Stage of the Bill I propose to introduce a further amendment of the Pigs and Bacon Acts. The bacon curers have represented to me that some curers are confining their selling activities to the home market only and they have suggested that it should be made obligatory on all curers to export a proportion of their output of Grade A bacon. This would spread the burden of competing in the export market and would also have the very desirable result of ensuring continuity of supplies to the export market, an essential factor in the development of a successful export trade. I have asked the curers voluntarily to operate an arrangement whereby each curer will export a proportion of his production of Grade A bacon. The curers themselves feel, however, that there should be power to compel any curer who is not prepared to co-operate in this matter to export his due share. At present the Pigs and Bacon Acts enable export quotas to be fixed but only for markets other than Britain and the Six Counties. Accordingly on the Committee Stage of the Bill I propose to bring in an amendment which will enable export quotas to be fixed for any market.
Before concluding, I should like to refer briefly to the grading of pigs and to the minimum prices which have been fixed for top quality pigs. Since the introduction in August, 1955, of a uniform grading system for all pigs purchased on a dead weight basis, pigs are being marketed at more suitable weights for bacon production and there has been a steady improvement in the proportion of grade A pigs reaching the factories. In the period August-December, 1955, the proportion of pigs in the weight range 1 cwt. 0 qr. 8 lb. to 1 cwt. 2 qr. which qualified for grade A was 54 per cent; in the period January-March, 1956, the proportion was 58 per cent. while, in the period April-June, 1956, and again in the quarter ended 30th September, 63 per cent. of the pigs graded were of grade A standard. Indeed, the position has now been reached that we are hearing suggestions——
