§ 54. Mr. A. M. SAMUELasked the Secretary to the Overseas Trade Department, the total current amount guaranteed under the Export Credits Scheme and the total current amount under the same scheme representing guarantees by His Majesty's Government that the Soviet delegation will meet obligations to British exporters?
§ Mr. GILLETT (Secretary, Overseas Trade Department)The liability on bills guaranteed under the Export Credits Guarantee Scheme and current on the 19th instant was £1,718,236, and the Department had at that date entered into contracts under which it was liable to guarantee further bills, if and when requested, on which its maximum liability would be £2,371,161. It is not the practice to state the amount current on any particular acceptor or country.
§ Mr. SAMUELIn view of the fact that a very large ratio of the guarantees given by His Majesty's Government are given to guarantee Soviet credit, will the hon. Member say the proportion which his Department propose that these guarantees shall bear ultimately to the total sum of £26,000,000?
§ Mr. GILLETTI am afraid I cannot answer that question without consulting the Advisory Committee, because, as the hon. Member knows, the credits are granted on the advice of that committee.
§ Mr. SAMUELBut is not this a matter which ought to be settled by the Department? Is the hon. Gentleman not aware that it will deprive exporters to other countries of the facilities of this scheme if the Government continue to guarantee the obligations of the Soviet Government to the present extent of ratio to the whole?
§ Mr. GILLETTI would remind the hon. Member that there is something like £20,000,000 still available for other countries.
§ Mr. SAMUELBut does not the hon. Member see that most of the export credit guarantees are being given to Russia?
§ 55. Mr. WOMERSLEYasked the Secretary to the Overseas Trade Department whether he will visit Northampton to reopen with the boot manufacturers there fresh negotiations to guarantee the credit of the Soviet delegation under the Export Credits Guarantee Scheme for a sufficiently long period to secure the Russian order for 3,500,000 pairs of boots which the Soviet delegation desired recently to place with Northampton manufacturers?
§ Mr. GILLETTThe Advisory Committee to the Export Credits Guarantee Department will be prepared to consider 21 any definite proposal falling within the scope of the scheme that British boot and shoe manufacturers desire to make in connection with the export of their products to Russia. The proposals which I understand to have been made to the boot and shoe manufacturers by the Soviet delegation some time ago would not be approved.
§ Mr. WOMERSLEYIs the hon. Member prepared to recommend that a longer term of credit than 12 months shall be granted in the case of boots and shoes or other commodities manufactured in this country? Is he aware that on account of this short-term credit many people are not putting in applications; and, further, that it is creating an impression throughout the country that the Government have no faith whatever in Russian credit?
§ Mr. GILLETTThe length of term of credits granted is constantly under consideration, and I am interested to know that we shall have the support of the hon. Member for extending it.