§ Mr. Teddy Taylor
To ask the Minister of Agriculture, Fisheries and Food what is the maximum price reduction permitted under the Commission's stabiliser plans for cereals; and if he will make a statement.
§ Mr. MacGregor
The Commission has proposed that a maximum guaranteed quantity for cereals should be introduced, and that if production in a year should exceed that quantity corrective measures should be taken. These 411W could include a reduction in intervention prices, an increase in the co-responsibility levy, a reduction in the period during which intervention would be available or a combination of these measures. The Commission has not been prepared to indicate in advance precisely what action it would take in a given situation, but it has proposed that adjustments to prices and the co-responsibility levy should be limited to 5 per cent, in the first year of the new system and 7½ per cent, thereafter.