Malting tax threat
LATEST threat to malting barley prices is the governments proposed energy tax.
Due to commence in April 2002 it could add to price pressure, says Bob King, chairman of the Maltsters Association of Great Britain cereals committee. "If we are getting taxed the cost of production will rise and barley prices will have to be lower."
Mr King believes it is wrong that UK industries should be taxed when other countries are not.
Mr King acknowledged that the MAGB had negotiated a revision which would mean an 80% rebate if energy savings of 15% were met between 1995 and 2010. But he says it is still a tax on the malting industry it can ill afford. *