HC Deb 03 February 1977 vol 925 cc254-7W
Mr. Michael Latham

asked the Secretary of State for Trade how many of the 75 overseas construction projects in which his Department's overseas projects group sought to assist United Kingdom firms, and which had not reached contract award stage as of 25th October 1976, have since done so; and how many of them have been won by British firms.

Mr. Meacher

A contract has been awarded in one of these projects. It was not won by a United Kingdom firm. However, a United Kingdom firm has received letters of interest for two of the projects worth in total nearly £70 million.

Mr. Michael Latham

asked the Secretary of State for Trade what is the total value to date of the Export Credits Guarantee Department's facilities to support overseas construction work by United Kingdom firms; and whether any expenditure has yet been incurred as a result of a bond being called.

Mr. Meacher

Since the bond support scheme was introduced in February 1975, ECGD has offered to support bonds to a value of £133 million for constructional works contracts worth £523.7 million. No bond supported by ECGD has been called; consequently no expenditure has yet been incurred by ECGD in this respect.

Mr. Michael Latham

asked the Secretary of State for Trade how many of the seven contracts for overseas construction work, referred to in the replies to the hon. Member for Melton by the Joint Under-Secretaries of State on 5th July and 25th October 1976, for which his Overseas Projects Fund gave financial assistance, have since reached the stage of contract award; how many were won by British firms; and what was the total value of any successful tender.

Mr. Meacher

No contracts have yet been awarded for these projects.

Mr. Michael Latham

asked the Secretary of State for Trade whether, pursuant to the Under-Secretary of State's reply to the hon. Member for Melton on 25th October 1975, he has yet received any recommendations from the Construction Exports Advisory Board regarding changes in Export Credits Guarantee Department facilities; and, if so, what action he has taken to implement them.

Mr. Meacher

I have not received any recommendations from the CEAB for changes in ECGD facilities.

Mr. Michael Latham

asked the Secretary of State for Trade what was the value for the financial year 1975–76 of (a) the total business insured under the Export Credit Guarantee Department under its constructional works policy and (b) the premium income received; and whether any payments had to be made as a result of the blocking or delaying of sterling transfers by overseas Governments.

Mr. Meacher

The total business insured by ECGD under its constructional works policies during 1975–76 was £147.3 million. Premium received by ECGD in respect of such business was £1.015 million. No claims payments due to the blocking or delaying of sterling transfers by overseas Governments were made under ECGD's constructional works policies in 1975–76.

I regret that comparable figures given for 1971–72, 1972–73, 1973–74 and 1974–75, in reply to the hon. Member on 5th July 1976—[c. 371]—were incorrect. The revised figures are as follows:

BUSINESS INSURED
£ million
1971–72 63.8
1972–73 17.9
1973–74 35.4
1974–75 190.8
PREMIUM RECEIVED
£ million
1971–72 0.378
1972–73 0.521
1973–74 0.557
1974–75 2.103

Mr. Michael Latham

asked the Secretary of State for Trade whether he will place in the Library a copy of the circular to Diplomatic Service posts regarding construction exports which was referred to in the Under-Secretary of State's reply to the hon. Member for Melton on 25th October 1976; and what further action has been taken following the issue of the circular.

Mr. Meacher

A copy of the circular to Diplomatic Service posts overseas (reference OTM 11/76) has been placed in the Library for the information of hon. Members. I see no need for further action to convey the wishes and advice of the Construction Exports Advisory Board to the posts overseas, but shall be glad to consider any suggestions which the hon. Member has in mind.

Mr. Michael Latham

asked the Secretary of State for Trade whether he will set out in tabular form the value of United Kingdom construction exports to each of the following countries for the years 1974, 1975 and 1976, respectively, namely, Bahrain, Iran, Iraq, Jordan, Kuwait, Lebanon, Qatar, Saudi Arabia, Syria, Egypt and the United Arab Emirates; and whether he will subdivide those figures into (a) contracting and development, (b) profession services and (c) materials or plant exports; and what approximate proportion that United Kingdom exports to each country bears to the annual value of construction output in those countries.

Mr. Meacher

Information in this amount of detail is not, in general, available; the limited amount that is available on visible exports could only be provided at disproportionate cost.