§ Mr. J. Rodgers
asked the President of the Board of Trade if he is aware of the need to maintain the flow to Brazil of spare parts for British engineering and transport equipment already there; and how far cover for the export of such spare parts to Brazil will be resumed under the Export Guarantees Act.
§ Mr. P. Thorneycroft
Yes. As my hon. Friend knows, export credits cover on short-term business with Brazil was withdrawn in May last year for reasons which have been fully explained. There174W is, however, a special case for facilitating the supply of spare parts for United Kingdom machinery and equipment which are already in use in Brazil and must be maintained in working order. The Export Credits Guarantee Department will therefore provide, as an exceptional measure, a special and strictly limited form of cover under Section 2 of the Export Guarantees Act, 1949, for the export to Brazil of spare parts necessary to maintain in working order machinery, apparatus and equipment of United Kingdom origin.
Applications for such cover should be made in the usual way to the Exports Credits Guarantee Department, who will consult the appropriate Government Department as to which business can be regarded as essential for purposes of maintenance. This is, as I have said, an exceptional measure introduced to deal with a special problem. The general problem of our trade with Brazil is still being considered. Full information concerning the scheme will be available in the district and branch offices of the Export Credits Guarantee Department from Monday next. 23rd February.