HC Deb 08 July 1997 vol 297 cc760-1
7. Mr. Desmond Browne

To ask the Secretary of State for Foreign and Commonwealth Affairs what steps he proposes to take to promote Britain's export trade. [5732]

Mr. Fatchett

We work hand in hand with the Department of Trade and Industry on export promotion. Together, we have established a new export forum which will consider how to improve our export promotion initiatives. We have given trade promotion a very high priority in my Department's mission statement

Mr. Browne

Will my hon. Friend join me in paying tribute to the Scotch whisky industry for its considerable contribution to the UK's trade balance? Will he reassure the House that he will continue to use the World Trade Organisation's disputes settlement system to ensure a level playing field for whisky exporters? In particular, will he ensure that everything possible is done to encourage India to include Scotch whisky in the early part of its trade liberalisation programme?

Mr. Fatchett

I am sure that my hon. Friend will have no difficulty in gaining support for his first point—that is, to ask everybody to support the value of Scotch whisky. I know that Scotch whisky is an important export for the United Kingdom and an important industry for my hon. Friend's constituents. We wish to see open markets for whatever product, and Scotch whisky is no exception.

During my recent visit to India, I raised with the Indian Finance Minister the question of open markets for Scotch whisky in India, and he was sympathetic to the argument. We need immediate action to achieve our objectives. I stressed the importance of that, and advised the Minister that Scotch whisky was a good nightcap for those touring India. He took my advice, and perhaps it will be open to others in the future.

Mr. Cash

Does the Minister accept that the most essential means of promoting exports is competitiveness, which requires established Conservative principles with regard to the promotion of trade and economic liberalism? Will new Labour espouse these principles, as it has done with almost everything else we have put forward in the past 150 years? Does he agree that one effective way of demonstrating the Government's determination to improve exports would be to condemn and eliminate illegal subsidies in the EU?

Mr. Fatchett

I was worried for a time that the hon. Gentleman might get through a question without mentioning Europe, and I was delighted that he arrived at that point at the end. As always, he saved the best bit for the end. Of course we condemn any subsidy that is illegal under European legislation.