HC Deb 08 May 1939 vol 347 cc11-2
6. Mr. Bellenger

asked the Prime Minister whether he can now make any statement on the question of the resumption of diplomatic relations with the Government of Mexico; and what are the obstacles which stand in the way of such recognition?

Mr. Butler

As I said in my reply to the hon. and learned Member for Kingswinford (Mr. A. Henderson) on 2nd November, His Majesty's Government cannot regard the restoration of diplomatic relations with the Mexican Government as practicable and likely to benefit British interests until that Government are disposed to reconsider their attitude towards the British oil properties which they expropriated. In reply to the hon. Member for North Lambeth (Mr. G. Strauss) on 24th April I stated that preliminary negotiations had taken place between the Mexican Government and a representative of the expropriated oil companies. These conversations have proceeded further. It is naturally to be hoped that they will result in a situation which will enable His Majesty's Government to reconsider their policy.

Mr. Bellenger

Are His Majesty's Government taking a direct part in the negotiations on the oil question?

Mr. Butler

Negotiations are being carried on by representatives of the oil companies and the Mexican Government.

Sir Frank Sanderson

Are they still proceeding?

Mr. Butler

Yes; they have proceeded further.

Mr. T. Williams

Does the right hon. Gentleman regard it as being of more importance to continue friendly diplomatic negotiations with Germany than with Mexico?