HC Deb 29 May 1956 vol 553 cc20-1
31. Mr. K. Thompson

asked the President of the Board of Trade if he will initiate discussions with the Government of Brazil with a view to creating conditions in which increased trade can be expected.

Mr. Low

Following discussions with the Governments of the United Kingdom, Federal Germany and the Netherlands, the Government of Brazil in August, 1955, instituted multilateral trade and payments arrangements with those countries. Belgium, Luxembourg and Italy have since become parties. These arrangements have widened the scope for our exports and I do not think that bilateral trade discussions are at present necessary.

Mr. Thompson

Is my right lion. Friend aware that for a long while Anglo-Brazilian trade has been shifting towards a large balance in favour of Brazil, which as a result has considerably reduced its indebtedness to this country? Will he consider reviewing the conditions which Brazil is required to satisfy in the reduction of the outstanding sterling debt?

Mr. Low

I do not think that the time is ripe for that. I am aware that United Kingdom exports to Brazil are increasing.