Extracts from Parliamentary proceedings - April 18

Lord Patten of Barnes (Con):..What about India? I noticed the other day that the European Union suggested that it might be easier to do a deal with India when we were no longer members of the European Union. In fact, we were always the back-markers when it came to negotiations with India. Why? Because we were concerned about opening up access to our services in India. Why? Because the Indians wanted in return for anything we were prepared to ask for greater scope for visas for Indians coming to this country, and we were not prepared to allow that.

Finally, the United States represents 15% of our market, but we expect Richard Cobden’s legatee, President Trump, to open up the American market to the United Kingdom’s exports. Are we serious? We would be pressing for opening up procurement with the United States, and the United States would be pressing for opening up procurement with us in the National Health Service. I am not going through chickens again because we had chickens up to our eyebrows in Committee, but I remember a wonderful speech given by my noble friend Lord Deben about chickens. I wish I could remember every word of it, but it was a pretty compelling argument on the difficulties of doing a food deal with the United States. President Trump will not be there for ever—but, in my experience, the Americans were not pushovers when it came to doing trade deals.

I have two last points. Is our ability to do trade deals or to export overseas held up by the fact that we are members of the European Union? When I last looked, Germany was a member of the European Union. Germany exports two and a half times as much to China as we do and exports more to India than we do. So the reason we do not do better in export markets must lie somewhere else. I do not agree with the point made by the Secretary of State for International Trade. I do not think that it is because British businessmen and exporters are—what was his expression?—fat and lazy. That is not why we do not do better. The truth is that between only 10% and 15% of companies in the country actually do serious exporting. They are mostly medium-sized or large companies—and guess what they want? They want the best access possible to the closest market. And where is that?

Lord Bilimoria (CB):...CHOGM—the Commonwealth Heads of Government Meeting—is taking place here. I would love to do more business with the Commonwealth— 2.4 billion people; India has 1.25 billion people. What is our total trade with the Commonwealth at the moment? It is 9% of our trade—9% versus the 50% that we have with the European Union. Let us get real. We would love to do more with India—I am the founding chairman of the UK India Business Council. How many free trade deals does India have with any country in the world on a bilateral basis? It has nine, and not one with a western country. Here is the crux of it; I know this from the horse’s mouth—Prime Minister Narendra Modi is over here in the UK today. If you ask India what its priority is, an EU-India free trade agreement or a UK-India free trade agreement, you will be told that an EU-India agreement is much more important to India and it has been working on it for several years...

Lord Adonis (Lab):...It is ordinary, hard-working people who will, of course, suffer the consequences if our trade collapses, and they are the people we should have at the front of our minds. However, on the point about trade with the wider world, almost two years ago a very thorough analysis of our trade and trade policy was made by a prominent politician in a speech. This is what she said:

“It is tempting to look at developing countries’ economies, with their high growth rates, and see them as an alternative to trade with Europe. But just look at the reality of our trading partnership with China—with its dumping policies, protective tariffs and industrial-scale industrial espionage. And look at the figures. We export more to Ireland than we do to China, almost twice as much to Belgium as we do to India, and nearly three times as much to Sweden as we do to Brazil. It is not realistic to think that we could just replace European trade with these new markets”...

To read the whole debate, CLICK HERE

Extracts from PMQs

Afzal Khan (Manchester, Gorton) (Lab): This week, the UK becomes the chair of the Commonwealth. Many of us will have walked past demonstrations outside Parliament on the issue of Kashmir, and I understand that the Prime Minister will be presented with a petition this afternoon. The stalemate in the bilateral talks between India and Pakistan has failed to deliver any solution to this major nuclear flashpoint. How will she use the UK’s new position to boldly pursue peace and human rights violations in Jammu and Kashmir? 

The Prime Minister: The hon. Gentleman raises a question that I know has been raised in the House before. I am sure that it is a matter of concern not only to him but to a number of his constituents. We continue to take the view that the best resolution of this issue is for India and Pakistan themselves to come together and resolve the matter. That will be the way to resolve it that will actually ensure the sustainability of a resolution.

Mr Virendra Sharma (Ealing, Southall) (Lab): Following the commitment by Prime Minister Modi and Finance Minister Arun Jaitley to end tuberculosis in India by 2025, will the Prime Minister commit to encouraging other Commonwealth leaders at this week’s Commonwealth Heads of Government meeting to make similar commitments in advance of the UN high-level meeting on TB? Will she also attempt to show Britain’s continued support for the fight against TB? 

The Prime Minister: The hon. Gentleman raises an important issue, and we are happy to ensure through various channels that we encourage others to follow the example that India has shown in relation to TB. At one stage, it was eradicated here in the UK, but we need to ensure that action is taken in other countries around the world.

Frank Field (Birkenhead) (Lab): When the Prime Minister meets Mr Modi as part of the Commonwealth gathering, might she seek to understand why India is, relatively speaking, so successful in countering child trafficking and draw lessons for this country? 

The Prime Minister: I have already met Prime Minister Modi—I did so this morning—and I raised the issue of human trafficking and the work being done in India. We will be setting up discussions between our officials.

Bob Blackman (Harrow East) (Con): London welcomes our good friend Prime Minister Modi today. Will my right hon. Friend take the opportunity to condemn absolutely the mobile billboards that are going around London attacking our good friend Prime Minister Modi, and will she congratulate and thank the 1.7 million members of the Indian diaspora on their contribution to the work of this country?

The Prime Minister: India is indeed a good friend of the United Kingdom, and the Indian diaspora here in the UK plays an enormous role and makes an enormous contribution to our society and our economy. I am very happy to join my hon. Friend in congratulating and thanking them, and indeed in encouraging the continuation of that contribution. When I spoke to Prime Minister Modi, we discussed how we can encourage and increase the links and development between our two countries.

Stella Creasy (Walthamstow) (Lab/Co-op): In 2009, Michelle Samaraweera was raped and murdered. Since 2012, Aman Vyas has been avoiding extradition for this and eight other charges of sexual violence against women in Walthamstow. There have been 47 hearings to date, with the judge not showing up for seven of them, and seven different judges have been appointed. When the Prime Minister talks to her good friend Prime Minister Modi while he is here in London, will she commit to raising this case with him and asking India to take it seriously so that we can finally get justice for Michelle?

The Prime Minister: I have already met Prime Minister Modi for our bilateral discussions. There are a number of issues of extradition between the two countries—the UK and India. We raise a number of cases with the Indian Government, as I did this morning. It is important that we recognise the independence of the judiciary in both countries.