§ 25. Mr. Frank Allaunasked the Secretary of State for Trade if he will consider long-term credits on favourable terms to Vietnam for the purchase of agricultural machinery from Great Britain; and if he will make a statement.
§ Mr. MeacherECGD is prepared to consider applications for cover for sales of agricultural machinery to Vietnam on normal commercial terms, though it will always consider matching exceptional terms offered by other credit insurers.
§ Mr. AllaunWould not this provide jobs for our engineers? Is my hon. Friend aware that Vietnam also wants to buy machinery for mining and for chemical, engineering and other industries? Are we dragging our feet because of the American trade veto?
§ Mr. MeacherWe are not dragging our feet because of the American trade veto. Vietnam is a major market which has considerable long-term export potential but which is now in considerable difficulties because of reconstruction and the lack of hard currency. As I have said, we will match exceptional terms provided by other credit insurers. We will go further than that and we are prepared to consider use of the aid trade contingency fund—that is, using a small proportion of the bilateral aid programme to give higher priority to the commercial importance of developmentally sound projects where no aid allocation is available or where it has been fully used.
§ Mr. NottIs the Minister aware that the country will note the Government's enthusiasm for providing export credits to Vietnam and their ban on export credits to James Mackie of Belfast, which wishes to keep its employees employed?
§ Mr. MeacherThere are totally different considerations involved.