§ Sir A. KNOXasked the President of the Board of Trade whether in 1935 Great Britain purchased goods from the Union of Soviet Socialist Republics to the value of £21,736,000, while the Union of Soviet Socialist Republics bought from Great Britain £3,505,000 worth of United Kingdom products and £6,206,000 worth of re-exports totalling in all £9,781,000; whether the payments of the Union of Soviet Socialist Republics in Great 1447W Britain bore to the proceeds of the Union of Soviet Socialist Republics in Great Britain in that year the agreed proportion of 1:1.5; and, if so, how the balance of £7,169,500 was made up?
§ Mr. RUNCIMANThe figures quoted by my hon. and gallant Friend in the first part of his question are not those which under the provisions of the Temporary Commercial Agreement with the Soviet Government form the basis upon which the balance of payments between the two countries is calculated. The proceeds of the Union of Soviet Socialist Republics in 1935, as defined by the agreement, amounted to £21,006,000 and the payments by the Union of Soviet Socialist Republics to £21,783,000. This exceeds the prescribed ratio by £7,779,000. The payments figure included a balance of £5,866,000 from the preceding year, £12,451,000 in respect of exports and re-exports and purchases of old ships during 1935 and earlier years, £1,470,000 for freight on British vessels and £1,996,000 representing 6.½ per cent. of the visible trade turnover.