EU Free Trade Agreements

Debate between George Hollingbery and Justine Greening

Thursday 24th January 2019 Commons Chamber

[George Hollingbery]

The hon. Gentleman opened his question by expressing his view that I had given a long and rambling answer. I am pretty confident that the question was longer and more rambling than my previous answer.

Will there be no basis of trade if we fall out without an agreement? No. There will continue to be the basis of trade that exists for everybody, which is the World Trade Organisation. [Interruption.] Indeed, I do confirm that. That is why we are putting such an enormous amount of effort into transitioning these agreements. Will the terms be amended? Yes; plainly, the bilateral partners with whom we are negotiating have different motivations. That is something that I have made very clear to members of the International Trade Committee when I have talked to them. That has led to some extension of the discussions that we are having, but many of those discussions are going extremely well. I reiterate to the House that I am confident that the majority of these trade arrangements will be put in place by the time we leave the European Union.

The hon. Gentleman also treated us to his analysis of EPAs, saying that they were not fit for purpose. He gave us the example of oranges. The last time I stood opposite him in a debate, he gave us the example of the difficulty that EPAs cause Ghana and its chicken, and indeed Tanzania and its fish. On the Ghana agreement, the fact is—I remember this—that chicken had been completely excluded from the EPA. The point about Tanzania and fish is not entirely relevant to EPAs, as there is no EPA with Tanzania.

My confidence is strong on this issue. I believe that we will have the majority of these arrangements in place. Yes, some of them are challenging. One or two of them are even more than challenging; they are close to impossible. Turkey has clearly been identified as an area where the issue of a customs union makes a deal with it very difficult indeed. I have made these things absolutely plain to the House before. However, I believe that we will have the vast majority of these other arrangements in place. We will protect our consumers and our businesses, which will be able to carry on using preferences.

[Justine Greening (Putney) (Con)]

Obviously, behind the debate about the concept of trade are jobs. What assessment has the Minister made of the number of jobs at risk if these agreements are not put in place? Has he identified the companies that will struggle? Is he working with the Department for Work and Pensions on contingency plans for those communities that might be particularly affected by any failure to roll over the agreements?

[George Hollingbery]

We are in constant contact with all the businesses that trade on these preferences; we have written to them many times. We have issued technical notices advising businesses on the steps they need to take to ensure that they are prepared for that scenario. Plainly, it is much better to have these agreements in place than not, but as I have just discussed with the hon. Member for Sefton Central (Bill Esterson), a change in the arrangements does not mean that trade with those countries will stop; it simply means that the terms will change. I believe that we are doing all we can and should to prepare businesses for some of the deals potentially not being passed, and we continue to do that.