HC Deb 19 July 1989 vol 157 cc332-3
8. Mr. McAvoy

To ask the Chancellor of the Duchy of Lancaster with which Organisation for Economic Co-operation and Development countries the United Kingdom is running a trade surplus.

The Parliamentary Under-Secretary of State for Industry and Consumer Affairs (Mr. Eric Forth)

In the 12 months to May 1989, United Kingdom visible trade was in surplus with Australia, Spain, Ireland, Greece and Canada.

Mr. McAvoy

I thank the Minister for that answer. He listed five countries with which the United Kingdom has a trade surplus. Will he confirm that we are in deficit with the 19 other countries of the OECD?

Mr. Forth

I can confirm that the hon. Gentleman's arithmetic is correct.

Mr. Marlow

One of the slight problems that the Government have is the balance of payments deficit. As my hon. Friend knows, one of the bases for that problem is the predeliction of the British consumer sometimes to buy foreign goods when British goods are equally good, if not better. Although my hon. Friend himself may not wish to use them, will he tell the House what powers he and the Government have to encourage people to buy British goods?

Mr. Forth

My hon. Friend is well aware—if anything, he knows it better than I do—that as a member of the European Community we are not able explicitly to encourage the purchase of British goods in the public sector. What private companies or concerns do to encourage customers to buy their products is entirely up to them. The Department and the Government generally have always emphasised that when a company makes a product of good quality at the right price, there is no reason why the public should not flock to buy it. One of the things that the Department has tried to do in various ways, and with many policies, has been to give as much support as possible to industry to make good products so as to encourage people to buy British.