Mr. John D. TaylorTo ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement about the United Kingdom's trade relations with Cuba. [38018]
§ Mr. NelsonI have been asked to reply.
The United Kingdom enjoys normal trading relations with Cuba, and the Government's policy is to support the efforts of UK firms to exploit the growing civil market opportunities which will arise as Cuba progresses with the reform of its economy along market-oriented lines. Her Majesty's Government will continue to urge on the Cuban Government the importance of an early settlement of outstanding debts to UK firms.
The Government signed a bilateral investment promotion and protection agreement with Cuba on 30 January 1995. It entered into force on 11 May 1995. Such agreements are designed to encourage investor confidence and investment flows by setting high standards of investment protection binding in international law. They are important to British companies thinking of investing overseas, because they contain strong commitments from other Governments about the way British investment will be treated. The agreement with Cuba is one of almost 80 concluded by the United Kingdom to date.
Cuba is on the United Kingdom list of destinations for which export licences for certain goods are subject to special licensing procedures. There are no Untied Kingdom of EC restrictions on imports from Cuba, apart from those applied to imports from all sources, such as on certain firearms and fissile materials; specifically, there are no quantitive restrictions for trade policy purposes.
My hon. Friend the Minister for Science and Technology paid a second visit to Cuba in September to further strengthen bilateral relations, including the development of trade and investment. He opened the new embassy building in Havana and signed an operating agreement on behalf of the Commonwealth Development Corporation with the Cuban Government, paving the way for further British investment in support of economic reform.