§ Mr. Trotterasked the Minister for Trade whether he will report on the outcome of the recent discussions between officials of his Department and the Soviet Union with regard to (a) passenger ships and (b) cargo ships operated by the Soviet Union.
§ Mr. SproatThe annual meeting of the Anglo-Soviet Maritime Commission was held in Moscow between 23 and 25 November. My officials made clear that the British Government were not prepared to allow the present position in Anglo-Soviet seaborne trade to continue. I am glad to say, therefore, that agreement was reached on a rationalisation of Anglo-Soviet liner trade, to the benefit 67W of the United Kingdom. The agreement represents an important first step towards correcting the current imbalance in general cargo carryings to give the United Kingdom a greater share of Anglo-Soviet general cargo carryings.
My officials also expressed the deep concern felt by the British Government about disruptive Soviet competition in certain other major routes serving the United Kingdom, and competition on passenger liner traffic, caused by the uncommercial nature of Soviet shipping which relies very heavily on State subsidy in areas such as building costs, insurance, fuel and general overheads. The Commission agreed that furher meetings to deal with these important issues should take place between the commercial parties concerned on both sides.