§ Mr. Sandelsonasked the Secretary of State for Trade whether there have been any developments regarding the Anglo-Soviet export credit arrangement of 1975.
§ Mr. DellThe terms of this arrangement provide for periodic review of the interest rates chargeable. After discussion with the Soviet authorities, they have been informed that the Export Credits Guarantee Department will, as from 17th August, support finance for contracts signed within the framework of the arrangement at interests rates not less than the export credit guidelines which most major trading nations have introduced and to which, as I informed the House on 15th June last year, the United Kingdom Government adhere. This will generally involve some increase in the rates chargeable.
§ Mr. Peter Morrisonasked the Secretary of State for Trade whether he is satisfied with the current United Kingdom trade balance with the Union of Soviet Socialist Republics; and whether he expects an improvement in the balance of trade in the year ending December 1977 on the deficit of £426 million for the year ended December 1976.
§ Mr. MeacherAs was stated during the Sixth Session of the British-Soviet 385W Joint Commission in Moscow in May, we remain dissatisfied with the level of our exports to the Soviet Union. At that meeting it was agreed that both Governments would make further efforts to improve the balance and structure of trade between the United Kingdom and the Soviet Union. There has been a modest improvement in the balance of our trade in the first six months of this year and a number of major contracts recently signed with British firms should begin to be reflected in our export figures. But I wish to see more orders placed by the Soviet Union in this country.
§ Mr. Peter Morrisonasked the Secretary of State for Trade what progress on trade relations has been made since his last meeting with the Russian Trade Minister.
§ Mr. MeacherA number of projects are still under negotiation but no new major orders have yet been placed by the Soviet Union with British companies since my right hon. Friend met Mr. Patolichev, the Soviet Minister for Foreign Trade, during his visit to Moscow in May this year for the Sixth Session of the British-Soviet Joint Commission.