7 Feb 1986 Alistair McArthur writes open letter to The Queen on EEC agricultural policy

British-born, New Zealand academic Alastair McArthur is so disturbed at the effect the European Economic Community Common Agricultural Policy is having on New Zealand agriculture that he has written an open letter
to The Queen, almost on the eve of her visit to this country.

Dr McArthur, British public-school educated, is Reader in Agricultural Economics at Lincoln University College of Agriculture on Canterbury Plains.

He begins his letter, addressed to The Private Secretary to Her Majesty The Queen : "I write to point out the economic damage Britain is doing to your New Zealand citizens.

"Under the Common Agricultural Policy quotas are under threat so that New Zealand has a decreasing share of the British butter and lamb market."

Dr McArthur says British farmers are responding to high farm prices set well above world levels.

These high prices lead to farm surpluses being dumped on markets outside the EEC at give-away prices.

This results in depressed prices for New Zealand, Australian and Fijian farm products.

His letter goes on : 'Dumping subsidised products on world markets and limiting farm imports can be as harmful as an economic boycott,

"Relatives and friends who gave support to Britain, with lives and material, in time of need are being treated shabbily.

"ANZACs who died at Gallipoli, on the Somme, and in the Western Desert would have been surprised at the turn of political and economic events.

"I ask you to use your influence and example to change British policy.

"In particular, I would ask you as a British landowner to set an example by reducing production on your estates of products, sugar, dairy products, beef and wheat, being dumped on world markets.

"The support which you and your family give to the use of British land for recreation and wildlife, rather than producing surpluses for dumping, is much appreciated."

Dr McArthur points out to The Queen that the Common Agricultural Policy is not in the interests of consumers and taxpayers in the EEC countries.

"The drive for self-sufficiency means that your consumers are being denied access to reasonably-priced food from Commonwealth countries with natural advantages in food production.

"You will have noticed on your travels to this part of the world intensive grassland farming in New Zealand, large scale wheatgrowing in Australia, and efficient sugar-cane production in Fiji."

Dr McArthur says that while EEC farmers are "getting 20 cents a pound for sugar produced expensively from sugar beet, surplus sugar is being sold on world markets for four cent."

"EEC taxpayers have to pay about $350 for every tonne of sugar dumped on the world market.

"You can imagine the impact that this policy is having on the sugar-dependent economy of Fiji.

Dr McArthur says that when The Queen is in New Zealand she will be struck by the effect EEC protectionism is having on the morale of New Zealand farmers.

Few sheep farmers will make ends meet this year with lambs fetching only $12 each.

"There is no way that natural adaptability and rugged individualism can help young farmers survive this depression.

"The EEC is costing Australia one billion dollars annually in export returns, and is costing New Zealand at least as much.

"But the damage to New Zealand is greater because this is a smaller country."

Dr McArthur says that the original intention of the CAP was for the EEC to stabilize prices by buying surpluses when prices were low and and marketing these when prices were high.

"This stability would be in the interests of both the consumer and European farmer alike.

"However, the practice of dumping surpluses overseas rather than selling farm products cheaply to grateful local customers has become part of CAP.

"Also doubtful is whether the CAP is very effective in helping the British farmer most in need.

"Price support makes millionaires out of large farmers, but is not sufficient to lift the incomes of small farmers.

"I regret to tell you that by supporting a policy of free trade in agricultural products you would be reducing the wealth of the great British landowners.

"From Down Under assistance to farming communities appears to result in the rich getting richer at the expense of the British taxpayer and consumer, and at the cost of old Commonwealth allies.

"That admirable British Prime Minister Sir Robert Peel had the wisdom to intervene on behalf of British townsfolk in the Hungry Forties by repealing Corn Laws and adopting a policy of free trade in agricultural products.

"This gave Britain cheap food, and the edge over continental rivals, together with opportunities for efficient agricultural production in the New World.

"The British gave away the advantage of cheap food by joining the Common Market.

"Peelite political skill would be required by Britain to reform the CAP, and this requires the support of the Head of the Commonwealth ; support which I hope you will give."

Dr McArthur signs his letter "Your Most Loyal Subject."