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Exports

Volume 607: debated on Tuesday 15 March 2016

We are mobilising the whole of Government to improve the UK’s export performance. A refocused UKTI will be at the centre of a co-ordinated approach and relevant Departments will share their expertise to get British businesses exporting.

I thank the Secretary of State for that answer, but the reality is that the UK export story is one of declining market share in the global market. Does the Secretary of State agree with the assessment of the British Chambers of Commerce, and will he accept its calls for urgent and practical support for UK businesses to export?

What I do accept is that more needs to be done to get British businesses exporting. That includes the work of UKTI, but it also means that all Government Departments have a role to play. For example, UKTI works with the Great British Food Unit, an operation started by DEFRA. So I think a lot of Government can get behind exports by working more closely together.

If the UK left the single market, my understanding is that the highest tariff that could be applied on UK manufactured goods would be the World Trade Organisation’s simple average most-favoured nation applied tariff, which for non-agricultural products is 4.19%. Can my right hon. Friend write to me to confirm that is correct, and to provide a factual context for the so-called risks of leaving the European Union? Can he also write to me to confirm that that number is lower than the annual fluctuation in the euro/sterling exchange rate for each of the last three years?

In answer to my hon. Friend’s first question, of course I can check that tariff and write to him. He raises an important point about trade, and he has clearly raised the issue of tariffs, but he will be aware that there are lots of non-tariff barriers as well, particularly for services. It is important to look at those too.

The Secretary of State’s word will do little for the 40 skilled staff of the Metabrasive steel foundry in Stillington in my constituency, which will close in May. So will he listen to the Materials Processing Institute and back its proposals for a materials catapult, which will provide productivity and innovation benefits for the production of metals, ceramics and other materials and promote our competitiveness and exports?

I am sorry to hear that that firm in the hon. Gentleman’s constituency may close. We should do everything we can to try to protect jobs like that, and certainly research has an important role to play. We are looking very carefully at that proposal and he will hear more shortly.

Spartan Global Services in Cannock exports refurbished computers to businesses across the globe. Can my right hon. Friend outline what is being done to reduce barriers to exporting, and to encourage more businesses like Spartan to take up the opportunities that exports offer?

My hon. Friend has raised this issue before, and I know that many companies in her constituency could do a lot more if we had fewer barriers. One suggestion is that we should get on with the Transatlantic Trade and Investment Partnership deal between the EU and the US. That would be the world’s largest free trade agreement. It would be worth some £400 to each household, and it would certainly help companies like the one in her constituency export more to one of the world’s largest markets.

Will the Secretary of State have immediate discussions with his Cabinet colleague in the Department for Environment, Food and Rural Affairs regarding the need to ensure the export of pork from both Britain and Northern Ireland to Taiwan, which has been awaited since August 2015?

That is a very important issue. Food and drink is our biggest manufacturing industry, but a lot more can be done in terms of exports. I know that my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs has taken this very seriously, and I will particularly look into the issue the hon. Lady has raised about Taiwan.

We have a massive trade deficit with the European Union but the balance is positive with the rest of the world. We have just celebrated Commonwealth Day. A relatively small amount of our trade is with the Commonwealth. As my right hon. Friend is refocusing his Department, will he embark on project Commonwealth so that we can export far more of our goods to our cousins abroad?

My hon. Friend is right about trying to do more with the Commonwealth. The links are strong and there has been a focus for many years on some countries, such as India. We have seen a big increase in exports and tourism, but there is always more we can do, so it is right to raise the issue.

19. The deficit in trade goods was £123 billion in 2014 and manufacturing now accounts for only 8% of jobs in our economy. The SNP Scottish Government have boosted exports by 36% since 2007, and recently launched the manufacturing strategy for Scotland. What are the Minister and the UK Government doing to support manufacturing? [Interruption.] (904106)

A most extraordinary noise has just radiated around the Chamber. Is it a singing tie? That is very irregular. [Interruption.] No, it was not the Minister.

If I heard the hon. Gentleman correctly, he suggested that the SNP should get the credit for the rise in exports in Scotland. Scottish businesses have worked very hard to achieve that and I do not think anyone would credit the SNP with that. Where Government policy is important is in making sure that we have a stable, strong economy, and that is down to the economic plan that comes from Westminster.