(3 years ago)
Commons ChamberI thank my hon. Friend the Member for Rutland and Melton (Alicia Kearns) for the work she did to bring about this debate. Many excellent points have already been made on the importance of retaining the territorial integrity of Bosnia and Herzegovina, and I add my voice to those expressing concern about recent events. The western Balkans have contributed to the history of modern Europe; they have been a meeting point between east and west for centuries. They have struck a fine balance between competing demands, and have typically performed admirably against coercive and malign forces. Any change to that position is extremely worrying.
I first visited Bosnia and Herzegovina on a visit organised by my right hon. and gallant Friend the Member for Beckenham (Bob Stewart), who made an excellent and powerful speech earlier. Like the hon. Member for Caerphilly (Wayne David), I found that the two most notable features were the beautiful countryside and, sadly, the scars of conflict. As the Prime Minister’s trade envoy to the western Balkans, I approach this debate from a slightly different perspective and will focus on the main element of my brief. Trade is, after all, not simply a means of growing economies but a means of ensuring peace and harmony between and within nation states. As the trade envoy, I visited Bosnia and Herzegovina and Serbia in October, when I held a string of meetings and visits to see for myself the fantastic partnerships that exist, as well as the numerous opportunities that we should be seizing upon.
Those fantastic partnerships would not happen without fantastic, active individuals. Joining us today in the Public Gallery is the Bosnian ambassador to the UK, Vanja Filipović, and I want to tell the House how important he personally has been in ensuring that the things we want to talk about—trade, opportunity, partnership and friendship—are coming about. None of us wants to be having this securitised discussion about Bosnia, so I say thank you to him.
I thank my hon. Friend for that intervention. She has made a point that I was going to make in two or three pages’ time, so I hope the House will forgive me if I repeat it.
On my recent visit, I visited a range of businesses. For example, the leading retailer in the country, Bingo, is seeking to cement existing partnerships and encourage new ones with UK suppliers. I also attended a reception hosted by the newly formed British Bosnian and Herzegovinian chamber of commerce, where I met around 50 local businessmen and women eager to do bilateral business. I met the Elnos Group and its UK partner Emico, which recently won a contract to deliver 13 prefabricated substations for HS2 and is planning to bid for more. I also met the Alfa Energy Group, one of the pioneers in energy sustainability; Riva, which is looking to introduce British fashion brands into Bosnia and Herzegovina; and Adriatic Metals, which is creating high-value jobs through a silver mine and also working to boost social cohesion through its charitable foundation.
That list is not exhaustive and I apologise to any organisation or business that I have left out, but I would be here all day if I went into more detail. In fact, there was so much to discuss that no sooner had I landed back in London than our embassy, led by our excellent ambassador Matt Field and his extremely capable team, requested that I return a couple of weeks later for further meetings—a request that I was happy to accept. The point I am trying to make is that there are endless opportunities for our two countries to co-operate further and deepen our partnerships.
The possibilities are endless, but only if we have a stable Bosnia and Herzegovina that is committed to the rule of law and the international agreements to which it has signed up. Yet decision making in the country is deadlocked and preventing it from functioning. The political blockade is damaging not only the internal dynamics of Bosnia and Herzegovina but the external ones as well. One key impact is on the trade continuity agreement that the Governments of the UK and Bosnia and Herzegovina are aiming to secure. After a slow start, we were finally making progress, but the blockade has stalled the process once again and this is unlikely to be resolved until the blockade ends, meaning that Bosnia and Herzegovina is one of just three countries we have not yet signed a TCA with. As a result, customs duties have come into force, hurting businesses and trade.
That is all the more disappointing given the fact that our trading relationship has been improving in recent years. Total trade is modest, but it is increasing despite the impact of covid-19. In the four quarters to the end of the first quarter of 2021, total trade in goods and services was worth £117 million—an increase of 77% or £51 million on the previous year. This is an opportunity that the excellent chamber of commerce I mentioned is well placed to seize upon. I was pleased to play a role in the formation of the chamber earlier this year, but businesses will be aware that instability in the country will not be to their advantage. It is hoped that Bosnia and Herzegovina will gain membership of the World Trade Organisation in the near future, but this will be very much in doubt if the country is divided.
Those who seek to undermine the integrity of the country need to recognise that the High Representative’s use of his executive powers to amend the criminal code was not an attack on any ethnicity, and the country as a whole needs to acknowledge the past so that it can move forward. A political blockade prevents this. The Dayton peace agreement, and the constitution of Bosnia and Herzegovina that resulted from it, ended the 1992-95 conflict. It may not be perfect, but it has been for some time the strongest guarantee against conflict in the region. Without it, EU accession talks would not be possible. Calls for the dissolution of Bosnia and Herzegovina are contrary to the Dayton agreement. The UK stands ready to support Bosnia and Herzegovina in protecting its territorial integrity and will support political and democratic reforms that safeguard social cohesion, the rule of law and the safety of its people.
We are committed to tearing down barriers to co-operation, not putting them up, and so long as Bosnia and Herzegovina maintains the same commitment, it will have the full support of the UK as a steadfast ally. I know from my visits and from discussions with politicians and diplomats across the region that there are moderate voices to be heard. We need to work closely with them and develop not only our political links but our trading and economic ties, which can lead to peace and prosperity. We must do all we can to urge those moderate voices to engage with us and to deliver the peace and prosperity that is within their grasp.