§ 2. Mr. Andrew Dismore (Hendon)If he will make a statement on British development programmes in India. [132039]
The Parliamentary Under-Secretary of State for International Development (Mr. Gareth Thomas)In 2002–03, DFID provided £161 million of bilateral development assistance to support Government efforts to deliver pro-poor policies and services in India. We work closely with four state Governments committed to poverty reduction to help accelerate fiscal and public sector reform; increase access to basic health, education, and urban services; and empower the marginalised. We also support the Union Government and civil society in those areas nationwide.
§ Mr. DismoreI am sure that I do not need to remind my hon. Friend that one third of the world's poor live in India, where 400 million people try to survive on less than $1 a day. With the incidence of HIV likely to rise to 8 per cent. over the next 10 years, and the prevalence of long-standing diseases such as polio, will my hon. Friend say what the Government are doing to try to support the Indian Government and individual Indian 99 states in that respect? Will he make particular reference to Gujarat, where so many of my constituents have their roots?
Mr. ThomasI recognise the importance of Gujarat to my hon. Friend's constituents. Many of my constituents share an interest in, and affinity with, that state, and India more generally. He is right to highlight the rise in HIV/AIDS in India, where some 4.5 million people are, sadly, already infected. The British Government have provided just over £130 million to the Government of India, through their national AIDS control organisation, to help tackle HIV/AIDS. Gujarat is one of the states in which we are working.
§ Tony Baldry (Banbury)I understand that in 2003–04 the Department will give £233 million to India by way of bilateral development aid. That reflects what the hon. Member for Hendon (Mr. Dismore) rightly said was the great poverty in India. However, the Foreign Secretary is at the same time allowing India to spend £1 billion on purchasing 60 Hawk jets. In effect, therefore, every penny spent by the Government on development aid to India in the lifetime of this Parliament is effectively subsidising and enabling the Indian Government in the purchase of war planes. Am I alone in thinking that that is a somewhat bizarre arrangement?
Mr. ThomasFirst, I must correct the hon. Gentleman's figures on this year's likely spend. We estimate that it will be in the order of £200 million. He may know that my right hon. Friend the Prime Minister has committed the Government to increasing our spend in India to some £300 million. The hon. Gentleman also referred to Hawk trainer jets, which are for training purposes, and not for operational and offensive purposes. The Government of India's defence expenditure is about on a par with what one would expect for an economy of that size. The initiative to which he refers will not have an impact on development programmes in India.
§ Mr. Piara S. Khabra (Ealing, Southall)Does my hon. Friend the Minister agree that trade and development go together? Will not the absence of any agreement at Cancun affect development work in India? What progress is being made to initiate further negotiations with the parties involved?
Mr. ThomasMy hon. Friend is right about the importance of making progress on trade negotiations. We were disappointed by the lack of further progress at Cancun. We welcome the statement by India's Commerce Minister, Arun Jaitley, that he is keen to get back to negotiations. My hon. Friend will have noted today that the World Trade Organisation has begun to look at how we might make that happen.
§ Mr. Andrew Robathan (Blaby)I have just returned from a visit to India, as a guest of the Indian Government. Does the Minister share my concern that the World Bank has just written to the chief Minister of Andhra Pradesh—one of DFID's four chosen states—because of World Bank concerns about the failure to combat corruption? Does he share my surprise that for 100 the past year the European Commission has occupied the entire fifth floor of the most expensive hotel in New Delhi and used it for offices? Does he think that that is a good way to spend the money of EU and UK taxpayers?
Mr. ThomasI am pleased that the hon. Gentleman has visited India. I, too, have just returned from India, where I discussed with the EU Commission our programmes, and the programmes that it has in hand. It is worth noting that the EU programme in India has been audited and given a good bill of health. We have a very constructive dialogue with the EU Commission in respect of its work in India. The hon. Gentleman's criticisms of the EU reflect his party's ongoing hostility to Europe more than real concerns about what the EU is doing in India.