Seòmar agus comataidhean

I attended the Fisheries Council meeting in Luxembourg on 16 June as part of the UK team.

The council covered a number of issues relevant to the Scottish fishing industry. On the agenda at the UK's request was an item about the haddock fishery to the west of Rockall. I raised this matter in the council and emphasised the risk to stocks as a result of the recent activities by Russian vessels in international waters. I also stressed the need to bring this fishery under proper regulation by the North East Atlantic Fisheries Commission (NEAFC). It was extremely encouraging to get strong support for this initiative from a number of other member states and a commitment from the Commission to raise this issue in NEAFC.

The council also discussed the Commission's report on fleet capacity (the Multi-Annual Guidance Programmes - MAGP). The UK team made it clear that the recommendations contained in the report were unacceptable and outlined, in particular, the need for activity controls to remain an option for managing the fishing effort of the Scottish pelagic fleet.

The council agreed new arrangements for the collection of biological and economic data. It also discussed reports about Regional Fisheries Organisations, the integration of environmental considerations into the Common Fisheries Policy, Regional Workshops, the EC's fisheries agreement with Morocco, the external aspects of the CFP, a review of the total allowable catch for anchovies and concerns about by-catch of small cetaceans.

I have made a more detailed written report to the Rural Affairs Committee, a copy of which will be placed in the Parliament's Information Centre.

I am delighted to announce that I have appointed Professor Peter Timms and Mr John Alex MacPherson to the Board of Caledonian MacBrayne Limited as non-executive directors from 1 July. The company faces many challenges and I am confident that they will make a positive contribution to the future direction of the company. Both of the new appointees live in areas served by the CalMac network and their knowledge and experience will enable them to bring a fresh perspective to the board. In making these appointments I have increased the number of non-executive directors on the board from six to seven. I believe this is appropriate in the light of the challenges the company faces in relation to the need to change the arrangements for delivering ferry services to comply with EU law. I believe the board is well equipped to provide this strategic direction which will enable the company to cope with this period of change successfully.

In addition, two current board members - Mr Lex Gold and Mr Scott Grier - have been re-appointed for a further three years with effect from 1 April 2000.

This is an operational matter for Scottish Enterprise and Highlands and Islands Enterprise and I have asked the respective chairmen to reply to the member. Copies of their replies will be placed in SPICe.

We are keen to encourage crofter forestry and hope that landlords and crofters can work together on forestry plans affecting crofting land. Woodland Grant Scheme payments are not available to landlords who resume crofting land against the wishes of the crofters and I have asked the Forestry Commission to make this clear to applicants. A similar rule applies to landlords who terminate agricultural tenancies by means of a contested notice to quit.

Forest Enterprise manages the Scottish Executive's 650,000 hectare forest estate in Scotland. It has the same responsibility in England and Wales. As an executive agency, Forest Enterprise is subject to review every five years - part of the process of continuous improvement of Government services promised in the Modernising Government White Paper of March 1999. Forest Enterprise was established as an executive agency on 1 April 1996 and its review has now started. Stage 1 is concerned with getting the organisation right for Scotland as well as for the rest of Britain, and its conclusions will be reported to me and the Forestry Ministers for England and Wales in July. Stage 2, which is concerned with improving the agency's performance, will be completed in December.

The review will include wide-ranging consultation with Forest Enterprise's customers, visitors and other interested parties, who are invited to contact the Secretary to the Forestry Commissioners, at 231 Corstorphine Road, Edinburgh EH12 7AT or to visit the Forestry Commission website at www.forestry.gov.uk/fereview.

We will continue active support for the crofting way of life by giving crofting communities increased opportunity to manage their own sustainable development through the crofting community right to buy and by modernising crofting law.We will continue to administer the wide range of measures available to crofting communities in ways which aim to ensure that the developments which we support within these communities are sustainable.

The first meeting of the refocused Convention of the Highlands and Islands was held on Monday 27 March in the Highland Council's headquarters, Inverness. The Convention, which comprised Scottish Ministers, local authorities, Local Enterprise Companies, Area Tourist Boards and other agencies and institutions, proved a good and positive forum for productive discussion on a range of matters of importance to the Highlands and Islands.Minutes of the meeting will be available on request from the Convention Secretariat in Meridian Court, Glasgow.

The recent review identified the need for modernising the Commission's constitutional arrangements, to meet new standards of public accountability, by converting the Commission into a modern NDPB or into an Agency. In the light of the balance of views expressed in the responses received, and following discussions with the Crofters Commission, I have concluded that the NDPB model is the appropriate one. When we have the opportunity we shall legislate to recast the Crofters Commission with a modernised Board structure and its own staff and budget. There will be scope for existing staff to opt to keep their current civil service status and to remain in post on a secondment basis. These are technical changes that will not change the essential character of the Commission.

The other issue was whether the Commission's development functions should be integrated with other support from Highlands and Islands Enterprise. The consultation process has demonstrated a strong preference for maintaining separate specialist support for crofters, and accordingly I am content that these functions stay with the Commission. At the same time, however, I expect the Commission and HIE to work increasingly closely together.

I attended the EU Agriculture Council meeting in Brussels on 20 March as part of the UK delegation led by Mr Nick Brown, Minister of Agriculture, Fisheries and Food in the UK Government. Ms Christine Gwyther, Secretary for Agriculture and the Rural Economy at the National Assembly for Wales was also present.

The Council had an exchange of views on the Commission's White Paper on Food Safety, focusing particularly on the case for horizontal legislation providing for controls across the whole food chain, the need for transparency in the operation of controls, and procedures for the effective handling of the results of inspection visits. This, together with debates on the Commission's White Paper in other Councils, will inform the Commission's eventual report to Heads of Government.

The Council agreed on conclusions to guide the Commission in its strategy for accommodating budgetary and WTO pressures in the fixing of export refunds on processed goods. The UK delegation emphasised the importance of export refunds to the cereals-based spirit drinks sector, notably Scotch whisky, and urged the Commission to recognise this concern in its implementation of export refund reductions. A statement to this effect was recorded in the minutes of the Council.

The Council also had a first discussion of a proposal to maintain the EU subsidised school milk scheme, but on a basis of a reduced EU budget contribution and compulsory co-financing by Member States. The UK delegation stressed the importance to the UK of continuing the scheme for the benefit of school children, and requested the Commission to examine other possibilities for savings in the EU milk regime before co-financing had to be considered.

Amongst other issues discussed in the Council were the present state of negotiations on the EU banana regime and the impact on agriculture of the EU Nitrates Directive. The Council also agreed a request from Italy for authorisation for payment of a state aid in the sugar sector, with Finland, Denmark and the Netherlands abstaining.

I last met officials, officers and members of the Scottish Crofters Union on 1 October 1999 when I visited Lewis. We discussed a wide range of matters including the role and structure of the SCU, the value and nature of crofting, crofting regulation and support and the current difficulties for sheep producers.