asked the Minister for Agriculture if he will give details of the latest figures available to him on the profit margin per acre for cereals and sugar beet and the margin per livestock unit for dairy cows, store cattle and two-year-old beef; if, in the light of the information available to him he will make a statement on the viability of these enterprises; if it is his view that farm families can survive on the level of profitability pertaining at present; if, in the light of the quota system at present in operation, he will identify the areas planned for the future expansion of the agricultural industry; and if he will make a statement on the level of interest which the above enterprises can support in the light of his figures on profit margins.
Written Answers. - Farm Profit Margins.
Data relating to standard gross margins for different types of farm enterprise are published by the Agricultural Institute. The estimated gross margins per hectare in 1985 were £297, £593, £951 and £269 for winter barley, sugar beet, creamery milk and cattle enterprises respectively. A wide variety of factors affect the economic circumstances of any particular farm family and it would not be possible to assess the viability and profitability of every farm in the country even if an objective and satisfactory definition of these terms were to be agreed. All of the Government's agricultural policies are aimed at promoting the development of our farms. In particular, I would draw attention to the new farm improvement programme introduced this year and the two exchange rate guarantee schemes which provide a total of £235 million at attractive low rates of interest in respect of both new working capital requirements and existing loans.