HC Deb 28 January 1957 vol 563 cc670-2
53. Mr. Swingler

asked the Secretary of State for Foreign Affairs if he will publish a White Paper indicating the steps taken by Her Majesty's Government in the last two years to secure a relaxation of strategic controls on Western trade with China.

Mr. Selwyn Lloyd

No, Sir. I have considered this question, but I do not think the publication of such a White Paper at this stage would be helpful.

Mr. Swingler

Does the Foreign Secretary not recall the numerous occasions on which we have been told that the Government stood for a progressive relaxation of these controls? Is the right hon. and learned Gentleman also aware that, in the view of many people, hardly any steps at all have been taken to relax controls and that we are sustaining now and have sustained a large loss of trade to other Western countries as a result of the existence of these controls? What is the Foreign Secretary doing about them?

Mr. Lloyd

Perhaps I may make two or three comments in answer to that supplementary. First, any action in regard to China trade controls must be taken in consultation with our allies, not all of whom share our view, and that is one of the difficulties. Nevertheless, we have taken certain steps to relax the controls by making use of the exceptions procedure and, although the hon. Gentleman may not know it, there has been a substantial increase in British exports.

Mr. Bevan

Is the right hon. and learned Gentleman not aware that there is a very great deal of quite undesirable obscurity about this position? Is he aware that very many people in the business world are exceedingly annoyed by all the different processes that they have to go through in order to get licences for exports? Is the Minister further aware that, quite frequently, when they have got orders they find that one essential part of a piece of machinery cannot be included, so that the machine is useless? Would it not be a good thing if he told the House what the existing position is and what resistance he is meeting to getting relaxation of this embargo?

Mr. Lloyd

It was the right hon. Gentleman himself, I think, who, before the Recess, suggested the idea of a White Paper on this subject, having in mind the particular point which he has put forward, and it is from that point of view that I examined the possibility. I am told that it would be much better if individual traders who feel that they are in any uncertainty would apply to the Board of Trade to learn the position. I think it is better dealt with on the basis of individual cases rather than general principles. So far as the wider issue is concerned, I think hon. Members on both sides of the House know the difficulty there is about this matter.

Mr. Bevan

This is a very serious matter indeed. A great deal of trade has been lost to this nation because of resistance put up to the relaxation of the embargo by another country which shall be nameless. Are we going to sacrifice our interests all the while owing to our diplomatic failure to exert sufficient influence on our allies?

Mr. Lloyd

I gather that the right hon. Gentleman is suggesting we should "go it alone" in this matter. In considering this question, one has to consider the balance of advantage, and the balance of advantage is to try to get the greatest possible agreement with our allies on this matter. Nevertheless, by using the exceptions procedure we have secured substantial relaxation.

Mr. Langford-Holt

Will my right hon. and learned Friend look again into the whole list of these goods? Her Majesty's Government are surely in danger of making their position somewhat illogical when they categorise tractors as being usable for military purposes, while at the same time we have, I understand, exported tanks which are not considered to be of any military use to the Middle East?

Mr. Lloyd

If my hon. Friend will bring forward any specific case, I will certainly try to deal with it. So far as agricultural tractors are concerned, there have been certain exports of those to China.

Mr. S. Silverman

In view of the right hon. and learned Gentleman's reference to the undesirability of "going it alone", may I ask whether he does not draw a very important distinction between the desirability of not "going it alone" in matters of international policy and the great desirability in a competitive world of "going it alone" as every other nation does in the matter of international trade?

Mr. Lloyd

The hon. Gentleman knows quite well that this is not solely a question of trade. If it were, it would be very much easier to deal with; but there are much wider political considerations involved.

Mr. Rankin

On a point of order. Is it in order for the Foreign Secretary to tell those of us who are concerned in this matter to approach the Board of Trade who will help us? I have been to the Board of Trade, and their help was to tell me that they were tied by the policy which is now being followed.

Mr. Speaker

Order. There is no point of order in that.