§ Mr. Higgsasked the President of the Board of Trade if he is aware of the present delays in the transfer of exchange in payment for goods exported to Turkey; and what steps he has taken, or proposes to take, to deal with this situation.
§ Mr. P. ThorneycroftI am aware that, owing mainly to recent heavy imports under her industrial and agricultural development programme, Turkey has run into balance of payments difficulties and is in heavy deficit with the European Payments Union. This situation has shown itself in the prolonged delays to which my hon. Friend refers and which affect not only the United Kingdom but other member countries of the Organisation for European Economic Co-operation as well.
Turkey has recently announced her intention to restrict imports from her fellow members of O.E.E.C. in order to bring them, so far as possible, within her means of payment, and that Organisation is at present examining with Turkey the whole question of her future arrangements for imports from the other member countries. Meanwhile the Export Credits Guarantee Department has thought it wise to offer United Kingdom exporters cover for new exports to Turkey to only a limited extent and to raise its premium rates.