§ Mr. FlynnTo ask the Secretary of State for Trade and Industry in 1999 prices, what was the value of military equipment licensed for export to China in each year between 1985 and 1999. [134435]
§ Dr. Howells[holding answer 30 October 2000]: The information requested could be provided only at disproportionate cost. However, in response to a recommendation made by the Quadripartite Committee, the 1999 Annual Report on Strategic Export Controls sets out the total value in respect of which a Standard Individual Export Licence (SIEL) was issued for the export of military equipment and other goods subject to strategic export controls. However, this total is likely to be greater than the value of exports that are actually made under the SIELs concerned because some of these will not be used to make all of the exports authorised and others will not be used at all. In addition, some goods are exported only temporarily and later returned to the UK.
It should also be noted that this figure does not cover all types of licence. Open licences allow the exporters concerned to make multiple shipments of the specified goods to the specified destinations in accordance with the licence conditions. While such licences do not normally impose any limit on the volume of exports that may be made under the licence, exporters are required as a condition of the licence to maintain records of all controlled exports for a minimum of three or four years depending on the goods. While these records may be examined by compliance offices in the course of routine compliance visits, the Export Control Organisation does not compile any central record.
For the years prior to 1999, applicants for Standard Individual Export Licences were required to record on the application form the value of the goods for which a licence was sought; this information was then recorded on ECO's computer databases. However, where a licence was issued, the value of the goods covered by that licence may have been less than the value of the goods covered by the original application. Exporters sometimes mistakenly apply for a licence to export goods for which no licence is required. In addition, goods are sometimes withdrawn from the coverage of an application during the licensing process, for example at the exporter's request, or the value may change during the time taken to process the application because of changes in exchange rates. Moreover, the value of the goods licensed for export by each individual licence was not recorded on ECO's computer database until 1 January 1999, although it was shown on the licence itself.
Finally, HM Customs and Excise collect and record information on imports to and exports from the UK for trade statistics purposes. This information is set out in Part III of the Annual Reports on Strategic Export Controls.