HL Deb 29 April 1985 vol 463 cc6-7

2.50 p.m.

Lord Molloy

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

The Question was as follows:

To ask Her Majesty's Government what progress has been made towards stabilising commercial links with Argentina.

The Minister of State, Foreign and Commonwealth Office (Baroness Young)

My Lords, the Argentine Government could take a major step towards the normalisation of our bilateral relations by agreeing to the reciprocal lifting of trade restrictions. We have made a number of proposals to achieve this.

Lord Molloy

My Lords, I thank the noble Baroness for that reply. Does she not agree that the Answer itself indicates that very little progress has been made? I believe that the new rulers of Argentina, who were opposed to the attack on the Falkland Islands, want to have a solid relationship with us. It might be well worth our while appointing a commission, perhaps under the Lord Privy Seal, to go to the Argentine to sort out the real problems there and overcome them in the interests of both countries.

Baroness Young

My Lords, we have tried on a number of occasions to achieve better bilateral relations with Argentina. One area where we believe we could make progress to the benefit of both ourselves and Argentina is that of trade and commercial relations. Unfortunately, Argentina has been unwilling to discuss this matter unless the issue of sovereignty is also discussed—which is unacceptable to us.

The Earl of Kimberley

My Lords, can my noble friend say whether any progress has been made, in respect of trade relations with Argentina, about the 200-mile exclusion fishing zone for our country and for the Argentine?

Baroness Young

My Lords, that is a very interesting point, but it is wide of the original Question. However, if my noble friend would care to put down a Question on this subject, I shall be happy to answer it.

Lord Kilmarnock

My Lords, will the Government lift the absurd ban on the import by British booksellers of books from the Argentine? This ban has absolutely no effect other than to prejudice the British book trade.

Baroness Young

My Lords, the Government recognise that special considerations apply to books. Indeed, we have repeatedly urged the Argentine Government to lift reciprocally all remaining commercial and economic restrictions between our two countries.

Lord Cledwyn of Penrhos

My Lords, last week the noble Lord, Lord Trefgarne, said in the debate on the Falklands that the Government were taking a constructive approach towards the rescheduling of the Argentine debt. Can the noble Baroness tell the House what form that constructive approach is taking?

Baroness Young

My Lords, the agreement reached at the Paris club meeting on 15th and 16th January on the rescheduling of Argentina's official debt is an important contribution to the economic adjustment programme of this third largest international debtor.

Lord Morris

My Lords, may I ask my noble friend whether one of the Government's proposals to the Argentine Government is that they now officially declare, at last, cessation of hostilities?

Baroness Young

My Lords, the Government of Argentina have not yet officially declared a cessation of hostilities—but we have still said that we would like to have better bilateral relations, including trade relations.

Lord Molloy

My Lords, is the noble Baroness aware that while the argument she submits apropos sovereignty of the Falklands is a very real one, that should be no reason or obstacle in the way of seeking to establish the kind of relationship for which I asked in my original Question?

Is the noble Baroness aware also that preliminary steps were taken by the British chairman of the IPU and many of his colleagues just under a year ago? It seemed to us then that if there could be something like a trade mission the very agreement to that by the Argentine would help to improve our relationship—which would be very beneficial to Great Britain and to the Argentine itself, and would therefore mean that both nations would gain something.

Baroness Young

My Lords, the Government have raised on five occasions, through the presidency of the European Community, the possibility of lifting trade restrictions. We tried in our long, complex negotiations leading up to Berne to do so again; and we have tried again subsequently. But for the reason I have already given, nothing, unfortunately, has come of these.