§ 16. Sir R. Russellasked the Secretary of State for Foreign Affairs, in view of the deterioration in the balance of trade with the Republic of South Africa month by month between 1st January and 31st May, 1968, if he will now reconsider the embargo on the export to that country of arms for external defence.
§ Mr. M. StewartNo, Sir.
§ Sir R. RussellIs the Foreign Secretary not aware that this is the first year in which we have had an adverse balance of trade with South Africa, and will he not agree that the arms embargo is a contributory cause of that? Would it not be a good thing to abandon this nonsense and put the trade balance right?
§ Mr. StewartNo, the arms embargo is not a contributory cause of it. The cause of the unfavourable balance is the substantial increase in our imports from South Africa. Exports from the United Kingdom to South Africa, it is true, for the first five months of this year were somewhat lower than they were in 1967, but this was true of exports of nearly all other countries to South Africa at that time. There was an exceptional spurt of imports into South Africa in 1967 following the relaxation of certain restrictions. Figures this year are well above those for 1966.
§ Mr. John LeeIs not the fact that our imports from South Africa are increasing one more argument in favour of import controls? Would my right hon. Friend have a word with the President of the Board of Trade, who seems to have an obsessive inhibition against import control?
§ Mr. StewartThat is a good deal wider than this Question.