§ 14. Sir MURDOCH MCKENZIE WOODasked the Secretary of State for Scotland whether the arrangements to provide the necessary credit to finance the Russian herring contract have been completed?
§ The SECRETARY of STATE for SCOTLAND (Sir Godfrey Collins)The present position with regard to the arrangements for financing the proposed contract between the British Herring Trade Association Limited and the Co-operative Wholesale Society for the sale of herring to Russia is, I understand, as follows:—The negotiations for financing the transaction by the Co-operative Wholesale Society have not been successful. Negotiations were, however, opened last week between representatives of the association and the National Bank of Scotland for a loan to the association.
In my opinion the basis on which the bank was prepared to make advances was generally reasonable and if credit is still desired the representatives of the association should, without delay, continue these negotiations with a view to adjusting details. I may add that a telegram has been conveyed to me this morning which suggests that if the herring are supplied the curers may now be prepared to undertake the scheme irrespective of financial assistance. I am making further inquiry on this point. I am glad to say that fishing is proceeding at the principal centres.
§ Sir M. WOODDoes the right hon. Gentleman not understand that in not; providing this credit he is causing the situation to get worse every day? Will he answer the question, which I have put to him before, whether he does not consider that he has a responsibility to find this credit for the industry without delay in view of the fact that they cannot get on without it?
§ Sir G. COLLINSI am aware of my responsibilities in the matter, and I have made clear to the parties concerned the views I have taken on certain proposals. As I have stated in my answer, I 1895 received a telegram this morning, which I shall be happy to show to the hon. and gallant Member—
§ Sir M. WOODIs it an official telegram?
§ Sir G. COLLINSIt comes from a very responsible quarter; otherwise, I should not have made it known to the House. In it it is said that the necessary financial assistance has now been secured.
§ Mr. BOOTHBYWill the right hon. Gentleman keep in the closest touch with the situation so that in the event of the negotiations breaking down he will be able to step in and do whatever may be necessary?
§ Sir G. COLLINSI am sure the hon. Member will believe me when I say that I am in constant, almost hourly, communication with the different ports and the various representatives on this very important matter.
§ Mr. MAXTONDo I understand that the matter has been satisfactorily settled and that no further negotiations are necessary?
§ Sir G. COLLINSThe information in the telegram I have received leads me to think, I will not put it higher than that, that the necessary financial assistance from outside sources will not be required.
§ Sir FRANK SANDERSONCan the right hon. Gentleman inform the House the total amount of credit facilities required?
§ Sir G. COLLINSAbout £50,000.
§ Mr. KIRKWOODIn the event of the negotiations breaking down, as they have done on several occasions, what action is the Secretary of State prepared to take?