HC Deb 10 December 2002 vol 396 cc146-7
6. Lawrie Quinn (Scarborough and Whitby)

If he will make a statement on Britain's relations with Brazil and the election of President Lula. [84325]

The Parliamentary Under-Secretary of State for Foreign and Commonwealth Affairs (Mr. Bill Rammell)

Before I specifically answer the question, I am sure that the whole House would want to join me in expressing our concern and sadness at the news that 36 people have been killed overnight by a mudslide in Brazil.

We congratulate President Lula on his convincing victory in Brazil's fully democratic elections, and we look forward to working closely with him and his Administration to deepen further our excellent relations with Brazil.

Lawrie Quinn

Given the important trading relationship between the United Kingdom and Brazil—I think that we are the eighth largest exporter to Brazil—will the Minister outline to the House what he will do to encourage that relationship, make sure that we increase the trade opportunities for British companies, and assist in the continuing development of Brazil, the fifth largest economy in the world?

Mr. Rammell

I thank my hon. Friend for that question and for his keen interest in our relationship with Brazil. We certainly believe that Brazil is a good place to do business. It is the UK's largest export market in Latin America, and, so far this year, our exports are up by some 16 per cent. Indeed, over the last year, more than 100 British companies have invested in Brazil, indicating strongly that they regard Brazil as a good place to do business. We will continue to support those efforts.

Rev. Martin Smyth (Belfast, South)

While I welcome the Minister's response, will he confirm that fears that the new President might change the economic pattern of Brazil are unfounded, and that he is continuing to lead his people to a better way of life?

Mr. Rammell

I certainly feel able to do that. Whatever initial concerns existed, the whole international community is now reacting favourably to the way in which President-elect Lula is forming his Administration. Indeed, the recent International Monetary Fund delegation to Brazil reacted very positively to the developments that are taking place.

Mr. Bob Blizzard (Waveney)

Despite the Government's substantial efforts since 1997 to encourage British business to engage more readily with Brazil, it is fair to say that the response has not always been as good as that for which we hoped. Business often cites the complexity of the regulatory regime in Brazil as off-putting. When the Minister has the opportunity to discuss these matters, will he make that point to his counterparts, and will he also encourage them not to be tempted down the route of protectionism?

Mr. Rammell

The point is well made. As I said, the 16 per cent. increase in exports in the last year is very positive. I am visiting Brazil next week, and I will meet representatives of the British business community there. I look forward to discussions within that forum.

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