§ 19. Mr. Wingfield Digbyasked the President of the Board of Trade what 1518 steps he is taking to encourage British enterprises to set up subsidiaries in Latin America, following the visit there of the Foreign Secretary.
§ Mr. MasonThe Board of Trade and our Embassies in Latin America are glad to help British firms interested in local manufacture with licensing agreements and the sale of know-how. The transfer of capital to subsidiaries in Latin America is subject to the exchange control regulations currently in force.
§ Mr. DigbyI recognise the present exchange difficulties. However, does not a dollar premium have to be paid in most of these cases? Is there not a danger that we shall be permanently excluded from these opportunities unless we can get in fairly soon in many of these countries?
§ Mr. MasonSince the visit of the Foreign Secretary we have done our utmost to try to establish closer links with Latin America.
Mr. Gresham CookeIs not one of the difficulties about setting up subsidiaries in countries like Brazil the severe limitations on the dividends which South American countries permit to come back to this country? Can the Board of Trade do anything about raising those limitations or dividends so as to make British overseas capital more profitable?
§ 20. Mr. Wingfield Digbyasked the President of the Board of Trade what success the Committee for Exports to Latin America is having in persuading more firms, and especially smaller firms, to take an interest in the Latin American market.
§ Mr. MasonThe Committee for Exports to Latin America are rightly concentrating their efforts on those industries for which the market potential is greatest. They report an increasing interest in Latin America among firms of all sizes.
§ Mr. DigbyWill the Minister give an assurance that this Committee will have every help in its very useful work, particularly in analysing the opportunities which now exist in Latin America?
§ Mr. MasonCertainly. In response to a recent questionnaire from the Committee, 385 firms said that they were willing to discuss export opportunities in Latin America with a member of the Committee.
§ Mr. Peter EmeryDoes not the hon. Gentleman realise that since the visits of the Foreign Secretary much of industry has become more conscious than ever before of the trade opportunities which exist in Latin America? Unless we have much more action from the Board of Trade than was implied in the two Answers which we have just received, the trade opportunities resulting from the visits will have been wasted.
§ Mr. MasonThe hon. Gentleman must have thought of that supplementary question before he heard my last answer. Did he not hear me say that since we set up this Committee 385 firms have shown interest?
§ Mr. SpeakerThat was a rhetorical question.