(3 years, 9 months ago)
Commons ChamberWe are committed to making sure that our ambitious global trade policy works for every corner of our United Kingdom. Trade unions and civil society are crucial to that, so I am delighted to have expanded our engagement to include a dedicated trade union advisory group and a series of civil society and think-tank roundtables from across the political spectrum, which I will chair.
I recently had a meeting with Jonty Cliffe and Claudia Bayley, the chairs of the Cheshire Young Farmers Club, and they were concerned to make sure that the views and priorities of all young people who work in agriculture and affiliated industries were fully integrated and taken into account by the work of the Trade and Agriculture Commission. I have raised this issue with the commission’s chair, Tim Smith, but will my hon. Friend also discuss it with the commission to make sure that those views and priorities are taken into account, because those young people are the future of British farming?
That is a great and typically thoughtful question. The TAC includes representative bodies from the length and breadth of Britain, so I encourage young farmers and others to continue to share their views with those bodies, which work proactively to provide insight to us and the TAC. Indeed, as my hon. Friend says, many young farmers—such as Jonty and Claudia in the Cheshire Young Farmers Club in my hon. Friend’s county and Tom Janaway in the National Farmers Union in mine—are already actively involved in sharing their views.
I thank the hon. Lady for that question, which is important, because we must apply anti-dumping measures in a clear and accurate way. The Department has assessed which of the existing anti-dumping trade remedies should be transitioned, and evidence has been provided by British producers of bicycles, which thus far has indicated that there are not sufficient British sales to transition the measure, but we will review any further information. That information would need to demonstrate that the British market share of British-based producers of the product in question was above 1%.
(3 years, 10 months ago)
Commons ChamberBritain’s trading relationships are already strong in the middle east. In the year ending March 2020, we had bilateral trade of £43.7 billion with the Gulf Co-operation Council countries and £5.1 billion with Israel. I know that my hon. Friend will join me in welcoming the Prime Minister’s appointment of Lord Austin—former Labour MP for Dudley North—as trade envoy to Israel. As Britain has now taken back control of her trade policy, I can confirm that we are now able to start scoping and probing for talks for a new higher-ambition trade agreement with Israel. We have already launched a joint trade and investment review with the GCC, taking us on the next leg of the journey to free trade with its members.
I join my hon. Friend in congratulating Lord Austin, who is a balanced and fair parliamentarian, on his great role, and we look forward to his work there. Given our strong and very positive relationships both with Israel and the Gulf states, the UK has a key role in striking deals. Will he update the House on what further plans we have for striking deals with these countries, as this will not only be good for UK exports but for our international relations as well?
My hon. Friend is right. I am delighted that the United Kingdom-Israel trade and partnership agreement was one of the first agreements to be signed by the Department, and relations will be enhanced as we further deepen our work with Israel. As I mentioned, we have recently launched the United Kingdom GCC JTIR—joint trade and investment review—which will facilitate agreements with our friends there to broaden our trade relationships and realise new opportunities in areas such as education, healthcare, and food and drink. Recently my Department’s lobbying secured an improvement in the United Arab Emirates’ labelling rules, which has allowed businesses such as sports nutrition start-up Grenade in Solihull to continue to grow in the market. I look forward to securing many more opportunities for businesses across the country.
It is unsurprising that Israel is one of the first countries to sign a post-Brexit trade agreement with the UK because bilateral relations are, as the Minister says, very strong. What progress is being made in expanding those opportunities, and how do they go beyond the agreements that have already been signed by the UK?
My hon. Friend is right to be very ambitious for Britain’s future as we unleash the potential of every corner of our country. I was very pleased to see that last year this growth included new export wins totalling £1 million in his constituency. He is a great champion of exports and he is right that there is more that we can do. There are exciting opportunities in sectors such as financial services, infrastructure and technology. We are working with Israeli counterparts to realise those, including through reinstating plans to host an Anglo-Israeli trade and investment conference in London.
Britain has reduced emissions faster than any other G7 nation since 1990; and we were the first major economy to legislate for net zero emissions, too. This people’s Government will make sure the British people benefit from being at the forefront of clean wind energy. We will spend £160 million on port and factory upgrades to create jobs, build turbines and increase our offshore wind capacity, which is already the biggest in the world. The hon. Gentleman can be sure that we will continue to push for ambitious international action to protect the environment, including through our trade agenda. Indeed, my right hon. Friend the Secretary of State has already made it clear that the environment is one of her top three priorities for British leadership at the World Trade Organisation.
I congratulate the hon. Gentleman on his position on the Front Bench, having worked with him on the International Trade Committee for a couple of years. Contrary to the points being made by certain Ministers, I would say that many of us on this side of the House speak up for businesses and are very proud of the contribution that our world-beating businesses and industries make. Carbon border taxes are an important measure not just for the environment, but for preventing carbon-intensive industries from relocating to countries with lower emissions standards and therefore a lower cost base. Can the Minister assure us that there is nothing in the deal that the Government have signed with Japan or nothing in the deals being struck with the US in the comprehensive and progressive agreement for trans-Pacific partnership—
Order. It is far too long in both cases—we will not get anyone else in at this rate. Minister, try and do the best you can.
My Department really does recognise the role that trade and tariffs can play in reducing global carbon emissions, and we are clear that trade does not have to come at the expense of the environment, but growing trade is important for so many more reasons. It delivers the things that our people care about: better jobs, higher wages, greater choice and lower prices, and our new global tariff helps to deliver that, as well as supporting the environment, by liberalising tariffs on 104 environmental goods that we are promoting.
I know that many businesses in Warrington are already flying the flag. Earlier this week, I was delighted to learn that Warrington’s ICC Solutions has secured a deal with a major US acquiring bank so that its technology will be used to make card payments safer in America. This company does great work as one of our export champions too. Ultimately, FTAs are going to create better jobs, higher wages, more choice and lower prices for all parts of our country. An ambitious FTA with the US could boost the economy in the north-west by £389 million per year.
I understand the hon. Lady’s point, but Her Majesty’s Government take their arms export responsibilities very seriously. We assess arms exports in accordance with strict licensing criteria. Those are consolidated EU and national arms export licensing criteria, and we draw on a lot of available information, including reports from non-governmental organisations and our overseas network in doing so. We will not license the export of equipment where to do so would be inconsistent with the criteria.
(3 years, 11 months ago)
Commons ChamberMy Department continues to promote increased trade with the subcontinent. My right hon. Friend the Secretary of State and I recently took part in the 14th annual UK-India JETCO—Joint Economic Trade Committee—during which we set a more ambitious trajectory for an enhanced trade partnership. Through our independent trade preferences scheme, we are strengthening our trading relationships with Sri Lanka and Bangladesh too, but our stronger trade ties are already delivering advantages for British businesses. I hope my hon. Friend will excuse a reference from across the Pennines, as I am pleased to announce today that Britain can now export polyhalite to India—it is an organic fertiliser mined in Yorkshire.
I welcome the Minister to the Dispatch Box for his first questions, on his birthday—congratulations. Bolton-born company Vernacare has big international demand for its infection control products used in hospitals. However, such companies face inflated import duties when trading. Exporting to India is proving cost- prohibitive for some businesses, so does he agree that through increasing co-operation with India we will be able to explore the reduction of import duties and thus bear a bountiful boost for businesses in Bolton?
My hon. Friend is right to say that we can go much further, and increasing bilateral trade and investment with India will benefit both Indian and British businesses, and, of course, our peoples. Here at home this work will support businesses located in every corner of the country, including Vernacare, in his constituency. It is just one example of a company that my Department has worked with to achieve significant success in India already, including agreeing a five-year supply deal with Manipal, one of Asia’s largest healthcare management groups
Although the growth in trade, particularly in services, with India is good news, the UK’s trade in goods with India increased by just 5% in the past five years, while the rest of the G7 all saw double-digit growth, with the US and France seeing increases of almost 40%. There is not a UK trade envoy with India, and the Select Committee thinks that visa restrictions are holding Britain back. Why does the Minister think other G7 countries are doing so much better on trade in goods with India?
I am delighted that the hon. Gentleman has joined the party in welcoming the fact that we will take back control of our trade policy. We will now have the chance to shape our relationship with India, which we have not had in the past. This Government have already delivered value to British businesses worth £250 million a year, based on industry’s own estimates, through unlocking exports of spirits, oats, pigs for breeding, poultry and lamb to India.
My hon. Friend makes an important point. Covid has threatened global trade and exacerbated protectionism. Our ambitious free trade agreements—with the United States, Japan, New Zealand and Australia—will not only help Britain bounce back by boosting trade but secure greater choice for consumers here by opening up and liberalising international markets. For example, increasing transatlantic trade could add £3.4 billion to the British economy; and the value of our exports to our friends down under could increase by around £1 billion through the deals we are striving for.
We have seen increasing trade tensions over the course of the last year. Does my hon. Friend agree that we need to avoid an escalation of trade tensions?
My hon. Friend is right. There are no winners in a trade war. We will continue to shine as a beacon for free trade in the world, illuminating and toppling trade barriers through free trade agreements, boosting British influence at the G7, the G20 and the World Trade Organisation, and keeping free and fair trade at the heart of all that we do.
One of our great trade and export success stories in the tech sector is Cambridge-based Arm, the tech giant that designs the chip that goes into almost every mobile phone in the world. During the covid crisis, it has been subject to the threat of sale to an aggressive American manufacturer. What is the Government’s response? What discussions is the Minister having with colleagues to ensure that this jewel in our tech crown is not dismembered?
Arm is a very successful business, and I have regular conversations with colleagues in a number of Departments. The most important thing is that we ensure the environment in the UK is one in which all sorts of businesses want to work and, of course, that we preserve our national security.
For the first time in almost 50 years, we are able to determine our own trade policy, and there is much interest in the potential of a free trade agreement with Britain from our partners around the globe. We will weigh up a multitude of considerations and we will be looking closely at the progress we make on market access improvements in the months ahead.
While we remain open to taking forward negotiations with a number of global partners, we have already had productive discussions on how to enhance our trading relationship with the Government of India, as I detailed earlier, with the Gulf Co-operation Council, and with the Southern Common Market, known as Mercosur.
Having lived and worked in South America for five years, I am aware of the huge untapped potential that countries on that continent can offer, particularly for our high-tech manufacturing bases in Dudley and in the Black Country, as my hon. Friend the Member for West Bromwich West (Shaun Bailey) mentioned. Will my hon. Friend update the House on any discussions to open up these markets and opportunities offered by a post-Brexit Britain?
My hon. Friend is absolutely right to raise the untapped potential of South American markets. Britain used to do more in this part of the world, so my Department is working to reignite those trading relationships through regular ministerial discussions, including with Brazil, to open up opportunities for trade. We have already secured a number of free trade agreements to ensure continuity of access for British businesses, and we are interested in further opportunities to deepen these relationships in the region, including through Mercosur.
They say it never rains in East Devon when in the company of my hon. Friend, which was certainly true on my great visit to his constituency. We met a huge number of great businesses and landowners who look after our countryside and curate it for the next generation. We will never sign a trade deal that compromises Britain’s high environmental protections or animal welfare and food safety standards. Indeed, I assure my hon. Friend that we will continue to promote our excellent British produce overseas through agriculture, food and drink bounce-back plans.
I am sure the whole House will join my hon. Friend in sending sympathies. We are ramping up defence engagement. We supported Britain’s largest ever delegation to the Indian defence expo in February this year, including 160 British business leaders. India increasingly prefers to contract defence and security deals via Government-to-Government frameworks, so we are leading that cross-government work to enable British businesses to do more in the future.
Front Line Defenders published a report in 2019 that detailed the firings, torture and trials in military courts of trade unionists and workers who organised strikes in Egypt. Will the Minister assure us that the Government will not sign a trade deal with the Egyptian Government unless they agree to respect the right to form unions and the right to take industrial action?
We will seek to provide continuity of trade with as many countries as possible through our continuity trade programme. We are always mindful of the trading partners we work with and we respect the rights and responsibilities that are intrinsic to British values in all that we do.
The Government have either reached free trade agreements or are in active negotiations with 15 of the 40 countries that the International Trade Union Confederation has identified as in the bottom category worldwide for their respect of workers’ rights. Will the Minister tell us in how many of those trade agreements the Government have secured or are seeking to secure clauses designed to protect workers’ rights?
The details of free trade agreements are reserved for formal negotiations, many of which are ongoing. Her Majesty’s Government have been clear that increased trade does not have to come at the expense of our high labour standards. Britain is an active member of the International Labour Organisation, and we will continue to uphold our world-leading standards and international commitments.
I am interested to hear the Minister’s comments, because the rollover agreement that the Government reached with Kosovo last year removed the requirement in the corresponding EU agreement for Kosovo to improve its laws on labour, health, safety at work and equal opportunities for women and men, for persons with disabilities and for persons belonging to minority groups. Can the Minister explain why?
As the Secretary of State and other Ministers have made very clear, what we do in this country remains in domestic law, and our trade deals do not change the fact that we have world-beating standards of labour protection. Indeed, this Government have done great work to combat modern slavery, introduce a national living wage and ban exclusive zero-hours contracts.
On a point of order, Mr Speaker. Thank you for taking this point of order, because it relates to the questions that we have just heard. In answer to my question on rolling over the deals that we currently enjoy through membership of the European Union, the Under-Secretary of State for International Trade, the hon. Member for Beverley and Holderness (Graham Stuart), said, and I quote, that
“the vast majority of the trade covered by those deals has already been secured,”
and that was repeated by one of his colleagues. It is, however, contradicted by the Department’s own website, which says that 19 deals have been secured worth £84.07 billion last year, but there are 18 deals outstanding worth £84.5 billion—and that does not even include Japan. Will the Minister take this opportunity to correct the record and confirm that the vast majority of trade is not covered by these deals, and in fact they cover slightly less than half?
(4 years, 2 months ago)
Commons ChamberI know that my hon. Friend is a great champion of business in his constituency, including the dairy industry. I can assure him that every region and nation will benefit from our trade deals, and that includes every industry from farming to FinTech to boot. In the south-west, exports of dairy amounted to more than £46.7 million last year and these businesses stand to benefit even further from the removal of US tariffs.
I am delighted to see my hon. Friend in his ministerial position.
Whether it is our excellent butter, cheese and cream, our amazing beef and lamb, our stunning fish and seafood, or our beer, wine and gin, Cornish food and drink are among the highest quality and most sought after in the world. The Minister will be aware that food producers are concerned that our high standards will be undermined in trade deals, so what reassurance can he provide to Cornish food producers that their interests will be protected, and what opportunities does he see for export?
We go back to the Minister, who looks as though he is a fan of James Bond—“Dr No” no less.
Who wouldn’t be, Mr Speaker?
Like my hon. Friend, I am also proud of the high-quality produce from British farmers, including from those in Cornwall, and I can assure him that trade deals will help deliver economic security for Britain and protect us all from new trade barriers and tariffs that could harm jobs and industry. I can assure him that Cornish food producers will be supported at every turn and will continue to be highly competitive. Negotiations will certainly reward them through providing access to new markets.
This is an important question. Free trade agreements will certainly help Britain to bounce back from coronavirus, and will bring better jobs, higher wages, greater choice and lower prices to consumers and businesses across the country. That means that in the east midlands lower tariffs and barriers will help to diversify the supply chain and reduce reliance on any single country for businesses that seek to thrive in the new global trading network which we are going to be at the heart of.
I am particularly pleased that we are now finally able to open direct negotiations with some of our oldest and closest allies. Will my hon. Friend tell me what steps the Government are taking to support businesses in the east midlands to make the most of the new opportunities created by these future trade agreements?
As a newly independent trading nation, we will be able to champion free trade, fight protectionism and remove barriers at every opportunity. That includes tariffs. We will be trading on British terms with our new global tariff, which will cut red tape and cut costs for consumers and businesses in Gedling and in the region. My Department and our experienced international trade advisers will continue to support companies across the east midlands access exporting opportunities, and to provide export credit and insurance through UK Export Finance.
We assess all export licence applications on a case-by-case basis against the consolidated EU and national arms export licensing criteria. We draw on all available information, including reports from NGOs and our own overseas network. I can assure the hon. Lady that we will not license the export of equipment where to do so would be inconsistent with the consolidated criteria.
I thank the Minister for his response, but there is a worrying pattern here. Last year, the Secretary of State said that her Department had inadvertently allowed licences for arms destined for Saudi Arabia to use against Yemeni civilians. Now she has failed to answer the clear questions of my right hon. Friend the Member for Islington South and Finsbury (Emily Thornberry) regarding the export of riot control equipment to the US and its use against civilians involved in the Black Lives Matter protests. Is that because the Secretary of State has inadvertently allowed those exports too, or does she simply not know what is happening in her own Department?
Not at all. The United Kingdom has issued licences to the United States in a number of different areas, and those have been provided in written answers to the shadow Secretary of State, but we continue to monitor developments in all countries, including the United States, very closely, and we are able to review licences, and suspend or revoke them as necessary, when circumstances require. That would be done in line with the consolidated criteria.
Arms export criteria state that licences should not be granted if
“there is a clear risk that the items might be used for internal repression”.
In the light of the police in America using tear gas and rubber bullets, which may have been supplied by the UK, to attack Black Lives Matter protesters, will the Minister cancel licences involved in the arming of repression? On a technical point can he tell me whether tear gas equipment is covered by the open general export licence for the US-UK defence trade co-operation treaty?
I refer the hon. Lady to the answer that I have just given. We will continue to monitor developments closely. We will review where necessary. On the technical points that she refers to, I welcome her probing question. We believe that criterion 2 is very important. It addresses the respect for human rights and fundamental freedoms in the country of final destination, and that is something that Her Majesty’s Government will certainly bear in mind as we review situations in the United States or elsewhere.
(7 years, 6 months ago)
Commons ChamberThe Department for International Trade supports efforts to grow the UK space sector. We are working closely with the UK Space Agency, Innovate UK and the industry to provide sector growth. In January, I led a DIT and UK Space Agency mission to the US, where I advocated the UK as an attractive market for space sector companies. We intend to highlight progress at the UK space conference in Manchester in May. UK Export Finance offers finance and insurance to help UK-based companies in the space sector.
It is really great to hear that the UK is fast becoming a world leader in the space sector. Will my hon. Friend inform the House about his efforts to secure foreign direct investment into the United Kingdom to support domestic growth in this industry?
My hon. Friend is right to raise the importance of this sector. The numbers are absolutely fantastic: it has six times the average research and development investment, and it has 2.7 times the average productivity in the UK. During the past couple of years, the DIT has supported 19 successful inward investment projects in this sector, and we will continue to work with the Department for Business, Energy and Industrial Strategy to deliver the UK space innovation and growth strategy in the future.
(7 years, 9 months ago)
Commons ChamberFirst, may I welcome the hon. Lady to the Despatch Box? I look forward to sparring with her over the course—[Interruption.] It’s okay. I can hold my own, don’t you worry. There has been progress in the Football Association, but there is always more to be done. It is important that the FA remembers that it is there as the national governing body to support footballers. Our own strategy sets out a cross-Government vision for sport and will encourage more tolerance at every single level of all sports, including grassroots and Premier League football.
Since the last oral questions, we have launched a call for evidence on gaming machines and a consultation on press regulation. We have also seen our Paralympians win 147 medals, 64 of which are gold. I am sure that the whole House will join me in celebrating their achievements.
Mr Speaker, as you will remember from my maiden speech, King John rode from his castle at Odiham to sign the Magna Carta. Eight hundred years later, the national lottery provided a three-day festival for our community to learn more about our heritage. Will the Secretary of State commend the Odiham Society for its work and celebrate the fact that the national lottery is awarding its 500,000th grant?
(7 years, 11 months ago)
Commons ChamberIt is nice to see that the Lib Dems are looking forward to repeating their election success at the next election. I always think it is nice for politicians to cover all their options. We do not intend to create a standing army of bureaucrats that would be expensive to the taxpayer. We are looking to see how most effectively we can create the skills and the cadre of negotiators we will require.
I welcome the President of the Board of Trade and his Ministers to their place. May I follow up on the previous question by saying that those in the private sector surely have a lot of experience and insight to offer in particular markets? Will he assure the House that the private sector will be consulted and its skills harnessed and welcomed by the Government?
That is correct, but I would say to counterbalance that that we also have a great deal of expertise inside Whitehall Departments, and it seems to me it would not necessarily be a good use of taxpayers’ money to contract out all these functions when we have the ability to get that knowledge into the negotiations from inside the Departments we already have. I think that a judicious mix between the two would be the appropriate way forward.