UK-India Free Trade Agreement Debate
Full Debate: Read Full DebateJohn Cooper
Main Page: John Cooper (Conservative - Dumfries and Galloway)Department Debates - View all John Cooper's debates with the Department for Business and Trade
(1 week ago)
Commons Chamber
John Cooper (Dumfries and Galloway) (Con)
It would remiss of me not to touch on the fact that the roots of this trade deal stretch back to the previous Conservative Government, and not to mention that the then Secretary of State Alister Jack—now Lord Jack of Courance—sent an aircraft carrier stuffed with dancers and pipers from the Edinburgh military tattoo to India, to highlight the unfairness of the regime that whisky faced out there, which this deal does much to address.
I have the pleasure of serving on the Business and Trade Committee, chaired adroitly by the right hon. Member for Birmingham Hodge Hill and Solihull North (Liam Byrne). When we talk about these trade deals in the Committee, the Government figures worry me, and he touched on them himself. We have heard time and again that the expected lift in GDP from this deal is around £4.8 billion, or 0.13% of the UK’s GDP, but those figures seem incredibly low. That may be because of a lack of ambition—I hope not—or because of caution on the part of the Government, which is perfectly understandable, but it is incredible that we are expecting so little from these trade deals. We could raise those figures—they must be a floor, not a ceiling—and do much better.
A difficulty that hon. Members have touched on is that the Department for Business and Trade is cutting its head count. Of course the bloated state has to be reduced, but we have to apply those cuts judiciously. It is good that the in-country team in India is staying put, but if the teams in the UK that help businesses here to export are cut, then we will have a problem, and we will kill growth.
We expect modest gains from the comprehensive and progressive agreement for trans-Pacific partnership, yet it offers a tremendous—an absolutely huge—market at a time when the EU’s share of GDP is drifting away. The hon. Member for Witney (Charlie Maynard) is keen on returning us to a customs union, but that customs union would commit us to applying EU-set tariffs, taking away the freedom we got from Brexit to strike out and do our own deals. The EU is potentially looking at the CPTPP, but we are already in the partnership. We have first-mover advantage. We should strike out with the confidence that Brexit gives us as a trading nation. Adam Smith literally wrote the book on free trade; this country is a trading nation—that is what built this country—and we should get back to that confidence.
On agriculture, the Business and Trade Committee took written and oral evidence from Tom Bradshaw, the president of the National Farmers Union. He was concerned that while lamb exports could do well through this deal, dairying is once again left wide open to difficulties. That is an issue in my constituency of Dumfries and Galloway; we have some of the most productive grassland in the UK. We make fabulous Galloway cheddar, and I would love to see more of that exported to India. Not much paneer probably comes to this country from India at the moment, but that will change. India is moving at incredible pace. It is hard to believe that in five or 10 years’ time, the Indian dairy industry will not have moved on. The licences that the Minister talked about will be in place, and there will be a flow this way from dairying, which is a concern for that sensitive sector.
The other thing that worries me on the Business and Trade Committee is the much-vaunted EU reset that the Government are seeking. Part of that is a sanitary and phytosanitary deal, which will affect agriculture in the round. Can the Minister tell us what impact that might have on future trade deals? At the moment, these trade deals are struck with the UK based on UK rules and regulations. If we accept dynamic alignment with Europe, we are no longer rule makers in this area; we are rule takers. Will those countries with whom we are striking deals have to look to the EU? Where does that leave us? Does it not hamstring us at a time when, as I say, we have this fantastic opportunity to strike our own deals and hopefully drive growth?