§ 30. Sir PATRICK HANNONasked the President of the Board of Trade the policy of His Majesty's Government in 1175 relation to the continuity of the most-favoured-nation clause in trade agreements with foreign countries; and whether he contemplates the elimination of the clause from future agreements?
§ Mr. RUNCIMANIn the view of His Majesty's Government, the general maintenance of the principle of most-favoured-nation treatment is essential for the stability of commercial relations. They would not, however, propose that such treatment should be accorded indefinitely to any country which is not prepared to meet the reasonable requirements of this country in regard to the treatment of United Kingdom goods.
§ Sir P. HANNONAre we to understand from the answer of my right hon. Friend that in the arrangement of overseas trade agreements in future, we can get modifications of this treatment if we are not getting corresponding results?
§ Mr. RUNCIMANYes, we shall certainly consider that case.
§ Sir P. HANNONAre not many of these agreements being rendered nugatory by the operation of this Clause?
§ Mr. T. WILLIAMSWill the right hon. Gentleman also bear in mind that Birmingham forms a very small part of this country and that other parts of the country have to be considered?
§ Mr. H. G. WILLIAMSIs the right hon. Gentleman aware that the United States, which sells to us four times as much as it buys from us, subsidises heavily, to our detriment?