HC Deb 26 November 1969 vol 792 cc403-5
12. Mrs. Renée Short

asked the President of the Board of Trade what proposals he has to increase British-German Democratic Republic trade from 1970.

Mr. Mason

The Confederation of British Industry and the East German Chamber of Foreign Trade are at present discussing trade arrangements to cover a period of three years. I am hopeful that the discussions will be successful.

Mrs. Short

I thank my right hon. Friend for that gleam of light. Will he assure us that the talks now proceeding about a long-term agreement will not fall down over the nonsense about nomenclature of the other contracting party? Will he consider opening a British office either in East Berlin or in Leipzig, where increasing numbers of British businessmen go twice a year to exhibit at the Leipzig Fair?

Mr. Mason

I hope that nomenclature will not hinder the negotiations. I do not know whether it would be helpful to have an office in East Germany. This year should be a record year for exports to East Germany, topping the previous record, made in 1966, of £15.9 million.

Mr. Lubbock

Is the right hon. Gentleman aware that the German Democratic Republic has decided as a matter of policy not to create a domestic computer industry, so that the prospects for selling British data processing apparatus there are very bright? Will he draw the attention of the industries concerned to this and accept the hon. Lady's suggestion so that we could have an office in East Germany where these matters could be pursued in greater detail?

Mr. Mason

No doubt data processing and computer equipment will be one of the items discussed between the C.B.I. and the East Germans this week. I hope that we shall get a favourable report by Friday.

13. Mrs. Renée Short

asked the President of the Board of Trade why he did not meet the State Secretary for External Economic Affairs of the German Democratic Republic during his recent visit to London.

Mr. Mason

In view of the policy of the United Kingdom and other N.A.T.O. countries on recognition of East Germany, a meeting would not have been appropriate.

Mrs. Short

I am not sure what my right hon. Friend means by this being inappropriate. Is he aware that, because of the strictures of the Foreign Office on the trade connections we have with the German Democratic Republic, we are cutting off our trade noses to spite our faces? Last year our exports to East Germany were only £13 million whereas the exports to East Germany of the Federal German Republic were £160 million? Is it not high time we normalised our trade relations with the German Democratic Republic, as many of our N.A.T.O. and Western European partners have already done?

Mr. Mason

My hon. Friend obviously did not hear the statistics I gave in my previous reply. This year looks like being a record year for our exports to East Germany.

Mr. Bruce-Gardyne

Should not the right hon. Gentleman point out to the hon. Lady that it is the policy of the Government to cut off their trade noses to spite their faces in all sorts of directions?

Mr. Mason

In spite of the high principles we have on this side of the House, as distinct from hon. Members opposite, particularly the hon. Member for South Angus (Mr. Bruce-Gardyne), our export trade is not doing badly.

Mr. George Brown

Is my right hon. Friend aware that, while there is not much that my hon. Friend the Member for Wolverhampton, North-East (Mrs. Renée Short) and I agree upon in terms of foreign politics, on this issue the Government are missing the point? When Herr Brandt has decided upon an Ostpolitik, why should we hold behind? Is it not now time for us to open up trade avenues, which means having an office in East Germany? Otherwise other people will pick it all up long before we get there?

Mr. Mason

Our trade with East Germany is increasing, and this week there is the possibility that we shall be able to establish a three-year trade agreement with East Germany as distinct from the annual reviews we have had in the past.

Mrs. Short

On a point of order, Mr. Speaker. In view of the unsatisfactory nature of the reply, I beg to give notice that I shall seek to raise this matter on the Adjournment at the earliest opportunity.