§ 21. Mr. Tilneyasked the Secretary of State for Commonwealth Relations whether, in his talks with the Ceylon Government's Finance Minister, he discussed the future of the tea industry and the large British investment in Ceylon.
§ Mr. BottomleyI made it clear to Dr. Perera that, if they were given the chance, British enterprise and investment could continue to make an important contribution to the economy of Ceylon, including the important export-earning tea industry.
§ Mr. TilneyWill the right hon. Gentleman point out to the Government of Ceylon that the high taxation, particularly the new wealth tax which is retrospective, is having a bad effect on the maintenance of tea gardens and will be likely to affect the export of tea in future?
§ Mr. BottomleyThis matter was discussed in my talks with the Finance Minister.
§ 22. Mr. Tilneyasked the Secretary of State for Commonwealth Relations whether, in his talks with the Ceylon Government's Finance Minister, he discussed the unfavourable balance of trade which Great Britain has with Ceylon.
§ Mr. BottomleyNo, Sir.
§ Mr. TilneyWill the right hon. Gentleman bear in mind that the balance of trade between this country and Ceylon is greatly in favour of Ceylon and that there are many widows of those who helped to build up the economy of Ceylon who are entirely dependent on dividends they receive from Ceylon?
§ Mr. BottomleyThe fact that Ceylon's trade with Britain is in her favour makes all the more regrettable the measures recently taken by the Ceylon Government to restrict invisible payments, so large a part of which normally come to Britain.
§ Mr. Stratton MillsIs the right hon. Gentleman aware that the Ceylon Government have put pressure on tea companies not to pay dividends out of funds which have accrued and are at present in London?
§ Mr. BottomleyThat again was a matter we discussed when I met the Finance Minister.