HC Deb 28 January 1987 vol 109 cc273-4W
Mr. Watts

asked the Secretary of State for Trade and Industry if he will make a statement on his recent visit to Saudi Arabia.

Mr. Channon

My visit to Saudi Arabia between 16 and 19 January was my third in as many years and my first as Secretary of State.

I had useful talks with Ministers and senior officials on a wide range of trade topics. All my interlocutors agreed that United Kingdom-Saudi relations were excellent. This satisfactory position owes much to exchange visits and other events in recent years culminating in the very successful visit last November of their Royal Highnesses the Prince and Princess of Wales and the impending state visit of King Fand. Saudi Arabia is our largest market

Mr. Barry Jones

asked the Secretary of State for Trade and Industry how many jobs exist in the United Kingdom arising out of the cement industry, what is the tonnage of imports of cement into the United Kingdom and from which countries for each of the years from 1980; and if he will make a statement.

Mr. Alan Clark

According to statistics collected by the Department of Employment, about 12,000 people were employed by the British cement industry in September 1986. The information on imports is as follows:

outside western Europe and north America. In 1986 our exports to the kingdom were £1,507 million, an all-time record. The latest available figures also suggest that our share of OECD exports to Saudi Arabia has improved dramatically from 8.6 per cent. in 1985 to 14 per cent. in the seven months to July 1986. This encouraging performance, combined with the very positive Saudi reaction to my visit, enables me to commend with confidence the massive opportunities which this market presents, despite reduced oil revenues, for a wide range of British exports.

I urge those companies with an established presence in the market to examine with particular care opportunities for partnership with the Saudi private sector in joint venture operations to serve both the Saudi home market and those of other GCC member states. The strong enthusiasm of the Saudi Government for such partnerships is reflected in the generous incentives available to foreign investors. It is highly desirable, with the prospect of renewed growth within two to three years, that British firms should take an early opportunity to explore these possibilities to safeguard their competitive position. My Department and the commercial staff of our embassy in Riyadh stand ready to assist both exporters and potential British joint venture partners in every possible way.