Commonwealth Countries: Trade

Debate between Lord Empey and Baroness Wilcox

Wednesday 15th February 2012 Lords Chamber

[Lord Empey]

To ask Her Majesty’s Government what steps they are taking to boost trade with Commonwealth countries.

[The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Baroness Wilcox)]

UKTI has teams in 20 Commonwealth countries, which help British companies with business overseas and to partner with Commonwealth businesses. These 20 countries represent more than 98 per cent of the Commonwealth’s GDP. In addition, Ministers and officials support the Commonwealth Business Council’s events to encourage intra-Commonwealth trade and to promote the UK as a trading and investment partner. For example, my noble friends Lord Howell and Lord Green spoke at the CBC’s forum in Perth in October and I have to admit that I am a member of the Commonwealth Parliamentary Association.

[Lord Empey]

The Minister knows that 50 per cent of our trade is conducted with other EU countries. These economies are mature and under great financial pressure. By contrast, the Commonwealth contains a mix of mature and emerging economies, some with significant natural resources and great potential for growth. Not wishing to have too many of our eggs in the European basket and given our special relationship with the Commonwealth, will the Minister assure the House that a vigorous approach will be taken to growing our trade with Commonwealth countries?

[Baroness Wilcox]

A vigorous approach is being taken by this country to invest in economies wherever we find them. However, to answer the noble Lord’s question, yes we are doing marvellous business with the Commonwealth and continue to do so. The developed markets of the Commonwealth represent very good opportunities for United Kingdom businesses. For example, our trade with India continues to rise: bilateral trade in 2010 was up 20 per cent and was worth £13 billion a year. UKTI’s activities through our India network of nine offices are building on this. We are moving resources more and more to high-growth markets, many of which are in Commonwealth countries such as India, South Africa, Malaysia and Singapore. However, half our exports go to EU member countries. We will continue to export and do business with every country that we possibly can.