HC Deb 03 February 1999 vol 324 c921
6. Mr. Barry Sheerman (Huddersfield)

What action she has taken to encourage crop diversification in the Caribbean. [67508]

The Parliamentary Under-Secretary of State for International Development (Mr. George Foulkes)

Together with the European Commission and the Caribbean development bank, we are funding a major programme of agricultural and economic diversification and a banana recovery plan which is essential to ensure that the industry becomes competitive. It is vital that new jobs are created in other sectors, as well as agriculture, and our funds for diversification are encouraging that.

Mr. Sheerman

My hon. Friend knows only too well that it will take time for many of those islands to diversify out of banana production. Will he redouble his efforts, and ask the Prime Minister and the Foreign Secretary to do the same, when talking to the Americans and, through them, the World Trade Organisation? Too many American businesses are using the WTO to harm the interests of the Caribbean banana producers.

Mr. Foulkes

The Prime Minister has heard my hon. Friend's question, and I assure him that the Prime Minister and the Foreign Secretary are very active on that matter. I know that my hon. Friend will be pleased that the compromise reached in Geneva late on 29 January averted the immediate risk of American retaliation against the European Union. We welcome that move to arbitration because it gives the European Union and the United States more time to work towards resolving the dispute without retaliation, which must be in the interests of British industry.

Forward to