Sir N. Stewart Sandemanasked the President of the Board of Trade in view of the fact that a trade agreement has been reached between France and Spain, and, in view of the close co-operation between the British and French Governments on commercial matters, why a similar agreement has not yet been arrived at between this country and Spain?
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§ Mr. R. S. HudsonThe agreement between France and Spain is an agreement of restricted character, providing chiefly for the exchange of certain goods up to a limited quantity and value during 1940. The negotiations for an agreement between Spain and the United Kingdom are comprehensive in scope, including, as they do, far-reaching proposals for the resumption of trade and the liquidation of outstanding debts. The closest contact has been maintained throughout with the French Government. I cannot say when the negotiations will be concluded, but I hope to be able to make an announcement shortly.