UK-Israel Trade

James Morris Excerpts

Tuesday 3rd July 2018 Westminster Hall

[Chris Green (Bolton West) (Con)]

I beg to move,

That this House has considered UK-Israel trade.

It is a pleasure to serve under your chairmanship, Mr Evans.

Before I came here as a Member of Parliament, I worked in the mass spectrometry industry for nearly 20 years. The great pleasure of that was travelling across the world, from Cuba to Taiwan and so many places in between. It was an absolute delight in 2001 and 2002 to do a little bit of work in Israel. A particular highlight for me was working at the Hebrew University of Jerusalem. While there, I had my first opportunity to visit a synagogue. The one I visited had the spectacular stained-glass windows designed, created and made by Marc Chagall, representing the 12 tribes of Israel. It is a spectacular vision in the synagogue, and it is particularly important to recognise the value of not only industry, universities and academia, but art and culture that we can share around the world.

Last week, His Royal Highness the Duke of Cambridge made the first ever official visit by a senior royal to Israel. Speaking in Tel Aviv, the economic heart of Israel, he proclaimed:

“The ties between our two countries have never been stronger, whether in our record levels of trade and investment, our cooperation in science and technology; or the work we do together to keep our people safe.”

The Prince’s visit to Israel last week was a strong symbolic sign that the relationship between our two great nations is better than ever. One can also point to the remarkable record levels of trade to see how tangible this flourishing relationship truly is. In his words and actions, I believe His Royal Highness the Duke of Cambridge captured what today’s debate is about.

Many people, as I did before my visits to Israel nearly 20 years ago, think of the country through the prism of its biblical narrative. They think of deserts, mountains and the Sea of Galilee, but the reality for many Israelis is very different. The Israelis have created a country that is every bit as advanced as Britain and the United States of America, which shows what can be done with talent and an immense amount of hard work. That entrepreneurial culture has resulted in what many now describe as a start-up nation. Every day Israel hosts delegations from across the world, looking to understand the secrets of the country’s success—a country that, we must not forget, is the size of Wales with a population of less than 9 million people.

The UK-Israel friendship runs deep, from our shared democratic values to our extensive co-operation in the fields of intelligence, defence and cyber-security. Prince William was right to point out our record levels of bilateral trade, which reached £6.9 billion last year. In the first five months of 2018 alone, UK-Israel trade reached £3.3 billion—a 22% increase compared with the same time last year. This year-on-year increase in the value of bilateral trade has been happening now for almost a decade.

[James Morris (Halesowen and Rowley Regis) (Con)]

I should declare to the House my entry in the Register of Members’ Financial Interests, following my recent trip to Israel to discuss trade matters. Does my hon. Friend agree that Israel has become a global powerhouse for research and development, with quite a lot of the big software houses and companies such as Google and Facebook, but that the level of research and development co-operation between the UK and Israel is probably not as high as it could be? Does he think there are further opportunities there for British companies to take advantage of the R&D powerhouse being created in Israel?

[Chris Green]

I agree entirely. Israel has attracted talent and is creating its own talent within the country. That relationship is improving around the world and it is yet to do so, and we ought to be taking advantage of that as we look to the future.

Trade has been increasing and improving for almost a decade and there are no signs of it stopping or slowing down. Britain is, after all, Israel’s second largest export destination after the United States of America and its principal trading destination in Europe. About 30 Israeli companies are registered on the London stock exchange and about 300 Israeli companies operate in the UK, employing thousands of Britons.

--- Later in debate ---

[Peter Grant (Glenrothes) (SNP)]

It is a pleasure to sum up this debate on behalf of the Scottish National party, and I commend the hon. Member for Bolton West (Chris Green) for securing it and for the measured and well-informed way in which he introduced his remarks. I cannot say I agree with everything he said, but I compliment him on the eloquence with which he presented his case.

I have always thought that Israel is something of an enigma in the world. As we have heard from a number of Members, there is no doubt that the advances in knowledge and research that Israel helps to promote have the potential, and sometimes the actuality, to benefit humankind well beyond that country’s borders. At the same time, however, Israel is almost an outlaw; it is a criminal, and it is acting against international law every day of the week. There have been a number of serious, lethal attacks on civilians for which nobody in Israel has yet been held to account. Just as it would be wrong to completely demonise Israel and treat it as a pariah state, and wrong to ignore the atrocities committed by some on the Palestinian side, so it is wrong to talk about Israel only as a place from which Britons may get rich, and to ignore some of the human rights issues that perhaps do not affect many people living within Israel’s borders, but that certainly affect many who live within the borders of Palestine.

[James Morris]

I visited Israel recently and met the Israeli-Palestinian Chamber of Commerce. Does the hon. Gentleman agree that, irrespective of some of the obviously complex issues in that region, trade between Britain and Israel, and between Israel and Palestine, is a key lever for creating the conditions for a two-state solution?

[Peter Grant]

I will come on to that in a minute. There is no doubt that trade relationships can lead to wider relationships and be used as a way of influencing—for good or sometimes for ill—the actions of other countries and Governments. Today’s debate, presumably not by accident, is not about trade with Palestine; it is about trade with Israel. If someone applied for a debate on UK-Palestine trade, and enhancing and expanding fair trade networks between the United Kingdom and Palestine, I wonder how many of the people who were so desperate to speak in this debate would be as desperate to speak in that one.