HC Deb 26 April 1978 vol 948 cc1361-3
6. Mrs. Chalker

asked the Secretary of State for Foreign and Commonwealth Affairs, in view of the economic importance to the United Kingdom of the presence in London of the headquarters of international commodity organisations, when he will state his decision on sponsorship of the establishment in London of a world commodities centre, so that the organisation already in the United King dom will have a clear picture of how to deal with its present accommodation problems, and also so that other new commodity organisations, such as copper, will have inducement to establish their headquarters in London in the future.

The Under-Secretary of State for Foreign and Commonwealth Affairs (Mr. Evan Luard)

My right hon. Friend received the executive heads of the London-based commodity organisations last month, when they presented him with a useful memorandum setting out their difficulties. He has instructed his officials to work on this question urgently. Ministers will be meeting to consider the matter when the necessary preliminary study has taken place.

Mrs. Chalker

I declare an interest, Mr. Speaker. Is the hon. Gentleman aware that other European Governments are actively encouraging likely new commodity organisations to set up in their capitals? Further, is he aware that we shall have to offer real incentives to persuade such organisations to come to Great Britain and to sort themselves out in a beneficial way to the British economy?

Mr. Luard

We are very much aware that other countries are anxious to attract these organisations to their capitals. That is one of the reasons why we have taken the proposal seriously. I agree that it is an important and imaginative idea. That is why we have been having discussions with the heads of the organisations. That is also why my right hon. Friend has seen the heads of the organisations, and why we hope to be able to reach a conclusion shortly.

Mr. Ioan Evans

Is my hon. Friend aware that the Parliamentary Association for World Government, which is an all-party group, has been encouraging the project? Is he further aware that there is a need for urgency? Does he agree that it would be a great thing if a world commodity trade centre were set up in London, which would lead to international co-operation and bring great economic benefit to Britain?

Mr. Luard

I am aware of the association's interest in this matter. I was involved in it myself at an earlier stage. One of the proposals is precisely to establish a single world commodity centre in this country. That is one of the matters that we are discussing with the commodity organisations.

Mr. Crawford

If such a centre were to be established, would not Aberdeen be a better place for it than London?

Mr. Luard

One of our assets—this answers precisely the supplementary question raised by the hon. Member for Wallasey (Mrs. Chalker)—is that London is an extremely attractive centre for these organisations, for various reasons. London happens to be an important commercial centre and a centre for commodity markets. I do not think that Aberdeen can provide a suitable alternative.

Mr. Henderson

Rubbish.

Mr. John Davies

I support the request of my hon. Friend the Member for Wallasey (Mrs. Chalker). I add that an early intervention may be necessary, bearing in mind that our past experience of giving great and deep thought to these matters over a protracted period has sometimes landed us without the baby that we wanted to get. Does the hon. Gentleman recall the problems that we had with the European Patent Organisation and our regrets that ensued from our rather late entry into the discussions?

Mr. Luard

We are well aware of the urgency. I think that the House will agree that we have treated the matter with some urgency. It is only a few weeks ago that the commodity organisations presented their proposal to us. We have a specific, concrete proposal, which we are considering as urgently as we can.