HC Deb 03 April 1950 vol 473 cc854-5
45. Mr. Selwyn Lloyd

asked the Prime Minister whether in view of the international friction caused by inter-Government trading, as exemplified by the recent dealings with the Argentine over meat, he will consider the present policy of Government trading in food and raw materials.

The Prime Minister (Mr. Attlee)

No, Sir.

Mr. Lloyd

Is the right hon. Gentleman aware that one of his colleagues recently described the trading behaviour of a country with whom we are in friendly relations as "blackmail"? Does he realise that language such as that, whether justified or not, is bound to produce bad blood and international friction, which would be avoided if these transactions were left to private traders—who, incidentally, would do the job very much bettor?

Mr. S. Silverman

When my right hon Friend is considering this matter, will he also bear in mind the importance of avoiding any friction with the Commonwealth, and that almost the first act of the new Commonwealth Government of Australia was to ask that bulk purchase agreements should be increased from five years to 15 years?

Mr. Maclay

Does the Prime Minister realise that the case of the Argentine is by no means the only one in which Government trading operations have resulted in ill-feeling in disproportion to a new contract, and that this is one of the most valid reasons for giving up State trading?

The Prime Minister

No there are a number of very good reasons to the contrary, and a number of incidents, far more numerous than the hon. Gentleman his recited, in which there are most excellent relations with other Governments just because of bulk trading which benefits both sides.

Mr. Anthony Nutting

It the right hon. Gentleman will not answer the supplementary question put to him by my hon. and learned Friend the Member for Wirral (Mr. Selwyn Lloyd), will he answer this question: Can he tell the House whether either he or the Foreign Secretary were consulted before the Minister of Food used this language?

The Prime Minister

Perhaps the hon. Gentleman will put down that question it does not arise on the Question asked.

Sir Waldron Smithers

When will the Prime Minister and the Government realise that bulk purchase inevitably means bulk selling, and that it is the main cause of high prices and shortages? When will he allow business to revert to people who know their business, instead of being undertaken by a lot of bureaucrats?