HC Deb 12 March 1979 vol 964 cc8-9
5. Mr. Kenneth Lewis

asked the Secretary of State for Trade what discussions he has had with the Trades Union Congress to secure agreement on co-operation between it and the Confederation of British Industry with a view to increasing Great Britain's overseas trade.

Mr. John Smith

The TUC and CBI already co-operate in the promotion of exports through their membership of the British Overseas Trade Board and the National Economic Development Council, which is very much concerned with the achievement of higher exports and import substitution.

Mr. Lewis

Is the Secretary of State aware of the general feeling that in the next 12 months we shall experience a more difficult time in overseas trade, that our prices will rise, and that we shall be less competitive? Should not the TUC try to do something to persuade the workers that it is important for the country to increase productivity and to achieve better delivery times overseas so that we can increase trade?

Mr. Smith

The hon. Member is absolutely right to draw the attention of everyone in industry—trade unionists and management alike—to those important factors. Together with the CBI the TUC is a sponsor of the Export United Campaign which is dedicated to increasing the awareness of everyone in the country of the export trade which will increase jobs and prosperity. I make it a practice to take a leading trade unionist on every trade mission that I attend abroad. That helps to create a wider measure of understanding.

Mrs. Wise

Does not my right hon. Friend think that, in view of the importance placed on import substitution by the TUC and in the joint statement by the TUC and the Government, it is now time that at least one of the 7,000 people employed in his Department should spend his entire time grappling with the problem of import substitution?

Mr. Smith

I understand that a great deal of effort is made by a number of people, but not on a full-time basis. I am always willing to look at suggestions for the improvement of the working of the Department. I shall examine the suggestion. My hon. Friend should recognise that more than the Department of Trade is involved. All the sector working parties under the industrial strategy are under an obligation to maximise the scope for import substitution.

Mr. Rhodes James

Has the Secretary of State had any discussions recently with representatives of small businesses, especially since small exporters, though individually small, collectively represent a significant part of our export trade?

Mr. Smith

I think it extremely important to maximise the opportunities for small businesses in the export trade. This may be an area which has not been given sufficient attention in the past, and that is why I am happy that we now have the market entry guarantee scheme, which is specifically designed to encourage small firms to engage in exports.

Mr. Ioan Evans

In addition to pursuing efforts on the export drive with the TUC and the CBI, will my right hon. Friend discuss with the TUC and CBI the need to reduce imports of products which we produce equally well in this country, and to this end will he consider having a"Buy British"campaign in the near future?

Mr. Smith

As I said to another of my hon. Friends earlier, we place high importance upon import substitution, since every exercise in import substitution is as valuable as the achievement of a further export contract. We believe that the best way to do that is to engage the attention of all the sector working parties in the industrial strategy, and there are some good examples of that—some in the footwear trade, for instance—which are having success.