HL Deb 12 May 1977 vol 383 cc365-7

3.5 p.m.

Lord BROCKWAY

My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

The Question was as follows:

To ask Her Majesty's Government what conclusions were reached at the conference of representatives of the nine nations of the EEC and 52 nations of the African, Caribbean and Pacific group (ACP) regarding trade and aid.

The MINISTER of STATE, FOREIGN and COMMONWEALTH OFFICE (Lord Goronwy-Roberts)

My Lords, the second meeting of the ACP/EEC Council of Ministers in Fiji on 13th and 14th April was recognised on both sides as a significant success. The Council reviewed the application of the Lomé Convention since its first Joint Council held in July 1976. It focussed especially on the aid side on the system for stabilising export earnings (STABEX) and on the Joint Resolution on Financial and Technical Co-operation. On the trade side, there was a general review of current issues of particular importance to the ACP States such as bananas, groundnuts, sugar and rules of origin. The details are set out in the communiqué which I have placed in the Library of the House.

Lord BROCKWAY

My Lords, while welcoming that reply regarding the success of the Conference, together with the fact that the Statement is to be placed in the Library, may I ask the Minister this question: what was the decision with regard to the stabilisation of commodity prices from these 52 Caribbean, African and Asian nations? May I also ask whether that Agreement might not contribute towards a solution of this problem which will be discussed in Paris between the North and South?

Lord GORONWY-ROBERTS

My Lords, I am not quite sure whether final agreement was reached on the point mentioned by my noble friend, but I will make sure that he is made aware of the exact position which has been reached, and I will communicate with him on the matter.

Lord ELTON

My Lords, in the light of the wholly satisfactory statement he has made, does the noble Lord agree that trade is, on the whole, almost always better than aid? Does he agree that the STABEX system is a notable advance which is to the credit of the European Community and which could be copied worldwide? Does he agree, also, that, subsequent upon trade, investment—from the free market as well as from Government markets—should be welcomed in developing countries, and that it is to this area that we should be turning our attention?

Lord GORONWY-ROBERTS

My Lords, I think there would be general agreement with what the noble Lord has said. Trade is undoubtedly better than aid, but aid is so often necessary in the rather long interim in these cases. I hope that aid will be provided in sufficient proportions, and in the right way, in order to encourage the capacity to trade.

Lord LEE of NEWTON

My Lords, following the communiqué after the meeting of the seven Heads of State, could my noble friend say whether we are now approaching agreement on the size of the Common Fund which was mentioned at UNCTAD?

Lord GORONWY-ROBERTS

Yes, my Lords; I think I can give a general assurance on that. The whole tone of this meeting was, as I said, significantly successful. Indeed, at the close of it, the distinguished Prime Minister of Fiji, Ratu Sir Kamisese Mara, said that this meeting had, …rekindled the flame of Lomé". I take that to mean that the intentions of the Lomé Convention, which are varied as well as important, including the point made by my noble friend, have been given a new fillip by this very successful meeting.

Lord BROCKWAY

My Lords, is the Minister aware that we very much appreciate the degree of agreement that has been reached at this conference and that we very much hope it will be the spirit in which these future discussions will take place on a wider basis?

Lord BANKS

My Lords, could the noble Lord say whether there were any representations from the ACP countries about the erosion of the preferences by the GSP under the Lomé Agreement, or are they now satisfied with the situation?

Lord GORONWY-ROBERTS

My Lords, I cannot say that they were completely satisfied, but I would venture to say that there is a new feeling of assurance on that point and on a number of other points. If I may now briefly refer to the point made by my noble friend Lord Brockway about a follow-up to this conference, I understand today that the progress of the sugar prices meeting, which has been going on intermittently since 28th April, promises fair success, and I am sure that my noble friend will be glad of that news.