HL Deb 02 July 1980 vol 411 cc346-7

2.46 p.m.

Lord BROCKWAY

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

The Question was as follows:

To ask Her Majesty's Government what were the conclusions of the renewed discussions between North and South representatives on 18th-19th June on the Common Fund for stabilising commodity prices.

Lord TREFGARNE

My Lords, the final round of the UNCTAD negotiations on the Common Fund took place from 5th to 28th June. I am glad to say that agreement was reached on the text of the treaty to bring the fund into operation.

Lord BROCKWAY

My Lords, can the noble Lord say whether the Common Fund will come into operation this year and can he answer two particular points? How much will the individual commodity agreements contribute to assisting a particular commodity suffering from a disastrous fall in prices? May I also ask whether in the case of the second window of the fund, progress has been made towards reaching the 280 million dollars required for diversification and market promotion?

Lord TREFGARNE

My Lords, some progress has been made towards achieving the figure required by the voluntary part of the second account, as it is now called, but I cannot give the noble Lord precise figures on that, since most are confidential and in any case a number of countries have not yet reached agreement on it. As to the date when the treaty will come into being, I have not got the precise date but I think it is next year.

Lord GORONWY-ROBERTS

My Lords, will the noble Lord, with or without notice, let us know how many signatories are attached to this treaty (which is really an agreement with schedules) and whether the total signatories include, in reasonably equal proportion, representatives of the industrialised West, the OPEC countries and the Soviet Union and its allies in the East?

Lord TREFGARNE

My Lords, I have not got the precise details for which the noble Lord asks. I will find out and write to him.

Lord ROBERTHALL

My Lords, can the noble Lord say what is likely to be the United Kingdom contribution to the Common Fund?

Lord TREFGARNE

My Lords, we have not yet made up our minds on that.

Lord KALDOR

My Lords, has the noble Lord any information on the nature of the commodity schemes on which agreement has been reached, on what kind of commodities are in contemplation for inclusion in such agreements and on how they would operate?

Lord TREFGARNE

My Lords, that is a separate question. I will write to the noble Lord.

Lord BROCKWAY

My Lords, has not insistence by the industrialised countries that there should be separate agreements rather than an overall plan led to a situation where commodity agreements other than in rubber may not be completed at all? In that case would the Common Fund be able to act effectively?

Lord TREFGARNE

My Lords, certainly it will. That is the whole intention.

Lord TAYLOR of GRYFE

My Lords, will the noble Lord indicate how many Governments require to endorse the agreement reached on the Common Fund before it becomes operative?

Lord TREFGARNE

My Lords, speaking from memory, two-thirds, I think.