Poultry Industry — House of Commons, 2015-01-20
Topic: Foreign Trade
Charles George Eustice (Conservative, Centre-right): I begin by congratulating the hon. Member for Brecon and Radnorshire (Roger Williams) on his continued interest in this subject, and on securing this important debate on the Transatlantic Trade and Investment Partnership and the impact that it might have on the poultry industry As the hon. Gentleman says, our poultry industry is vital to the UK economy and is one of the most successful across Europe, supporting around 73,000 jobs in the UK and contributing £3.3 billion annually to the UK GDP. I am aware that, as the hon. Members for Strangford (Jim Shannon) and for South Down (Ms Ritchie) pointed out, there is a very strong poultry industry in Northern Ireland as well, so securing and building export markets is particularly important for sales of dark poultry meat and so-called fifth quarter products. This provides added value markets for poultry meat products not generally consumed domestically, and therefore increases the value of each bird We have continued to seek access to foreign markets for our poultry products. The hon. Member for South Down highlighted the potential in China. Just last week the Secretary of State was in China. One of the things she was doing was progressing negotiations to open the potentially lucrative market there for chicken feet. One of the interesting things one learns in this job is that although there is not a large market for chicken feet in this country, they are regarded as a delicacy in China and therefore fetch a value that cannot be achieved here International exports of UK poultry meat increased by 31% over the first half of last year. This growth has been supported by new markets opened in, for instance, Madagascar and Mozambique. Exports of live poultry increased by 9% in this period, with particularly strong growth in Africa. This growth has continued despite some of the challenges that the industry has faced, and is a strong indication of both the innovation of the industry and the strong partnership that the industry has with Government. As the hon. Member for Brecon and Radnorshire pointed out, there are wider benefits for other sectors in the food industry from increasing access to foreign markets. For instance, in 2013 UK producers exported almost £2 billion-worth of food, feed and drink to the US. A comprehensive trade agreement between the EU and the US could add as much as £10 billion annually to UK GDP. One independent study estimates that total UK food and drink exports could increase by around 4.5% as a result of TTIP, so securing an ambitious deal in TTIP is a priority for the Government and we are prepared to take the necessary steps to ensure that we achieve a deal that provides the best possible outcome for the UK I know that there are some concerns, specifically in the poultry industry, about the potential impact of TTIP. I can reassure the hon. Gentleman that I had a meeting with the British Poultry Council last year to discuss its concerns in some detail. We should know that one consequence of freer trade with the US is a potential increase in the level of competition for UK producers. We need to consider the implications of the trade deal for different sectors within the farming industry.