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Thursday Volume 651 20 December 2018 No. 227 HOUSE OF COMMONS OFFICIAL REPORT PARLIAMENTARY DEBATES (HANSARD) Thursday 20 December 2018 © Parliamentary Copyright House of Commons 2018 This publication may be reproduced under the terms of the Open Parliament licence, which is published at www.parliament.uk/site-information/copyright/. 963 20 DECEMBER 2018 964 As the right hon. Gentleman rightly says, there are a House of Commons number of agreements. My Department is responsible for some of them, some are the responsibility of the Thursday 20 December 2018 Department for International Development, and some are the responsibility of the Foreign and Commonwealth Office—they cut right across the whole Government. The House met at half-past Nine o’clock We are making very good progress across a whole range of them. Of course, we have now initialled the first of those major trade agreements, with Switzerland, which PRAYERS is responsible for almost a fifth of the total trade within those agreements. Others will follow. The discussions are very often commercially quite sensitive, so we will [MR SPEAKER in the Chair] inform the House when we have signed agreements, and not before. Oral Answers to Questions Mr Jim Cunningham: Mr Speaker, like the right hon. Member for Carshalton and Wallington (Tom Brake), I wish you, the staff, Ministers and everybody else a merry Christmas and a happy new year. Have any INTERNATIONAL TRADE countries indicated a preference for the UK delaying Brexit without a deal? The Secretary of State was asked— Dr Fox: Not directly in the discussions that I have had with other countries, but there is clearly a desire to EU Trade Agreements have an agreement, so that there is time during the transition of these agreements before they become a 1. Tom Brake (Carshalton and Wallington) (LD): more bespoke relationship. The two-year implementation What estimate he has made of the number of trade period set out in the Government’s proposals would agreements that the UK is party to as a result of its enable that, so that is clearly preferable for both sides. membership of the EU that would be rolled over on exit day in the event that the UK leaves the EU without a Mr Philip Hollobone (Kettering) (Con): Can the Secretary deal. [908317] of State confirm that if we leave with no deal, the sun will still rise on 30 March, Britain will remain a premier 6. Mr Jim Cunningham (Coventry South) (Lab): Which global trading nation and the current booms in exports countries that the EU has a trade agreement with have and inward investment are set to continue? notified his Department of restrictions on their ability to offer the same terms in a future trade agreement with Dr Fox: I am grateful to my hon. Friend for his usual the UK. [908324] patriotic and optimistic tone. He is right that the country is in the middle of an export boom; our exports are at The Secretary of State for International Trade and an all-time high. In the first six months of the year, President of the Board of Trade (Dr Liam Fox): We will according to the United Nations Conference on Trade replicate existing EU free trade agreements and their and Development, the United Kingdom was second preferential effects with partner countries as far as only to China in inward investment. It is truly a very possible, while making the technical changes needed to positive picture, and we will be able to build on that, ensure that agreements can operate in a bilateral context. whatever our relationship with the European Union. Wewill inform Parliament and the public when agreements have been signed. Barry Gardiner (Brent North) (Lab): On behalf of our Front Benchers, may I extend Christmas greetings, Tom Brake: First, I wish you, Mr Speaker, other particularly to the Secretary of State and his team? Members and staff a very merry Christmas. Mr Speaker, in Prayers this morning, your chaplain I would like to do something that I do not often do: referred to the perseverance of the wise men; I think we thank the Secretary of State, his Ministers and his staff all need that. for organising a very helpful series of all-party briefings What assessment has the Secretary of State made of to Members. They are very welcome and informative. potential trade partners being unwilling to conclude The Secretary of State will know that as a result of new roll-over agreements with the UK because of most our EU membership, we have 35 free trade agreements favoured nation clauses in agreements that they have in place, 48 partly in place, 22 pending, and 100 sectoral concluded with other countries, to which they are unwilling arrangements with the US that go beyond World Trade to give the same trade preferences as they do to the EU? Organisation rules. I would like to hear the Secretary of I am thinking of countries such as Singapore, which State say precisely when he expects all those to be rolled might be unwilling to give other Trans-Pacific Partnership over. countries the same access to their telecoms market that the EU has enjoyed. Dr Fox: I am grateful to the right hon. Gentleman for his comments. It has been extremely useful to have been Dr Fox: We discuss matters with other countries on a able to raise, across the House, the understanding of case-by-case basis. None of them has said to us that complex trade issues that have not always been within they do not want to continue to have an agreement with the UK Government’s remit in recent years. the United Kingdom; that is entirely understandable, as 965 Oral Answers 20 DECEMBER 2018 Oral Answers 966 we are the world’s fifth biggest economy. Where we are The memo published by the European Commission able to translate elements into a bilateral context, we are yesterday was clear that, if the UK leaves with no deal doing so. We are working through those agreements. We and ends up trading on WTO terms, customs declarations are making good progress, and I will report to the and other checks will be required on exports into the House as and when each of them is signed. EU. Have the Government estimated how much that will cost UK business? WTO: Food Security and Agriculture George Hollingbery: The Prime Minister has brought 2. Kerry McCarthy (Bristol East) (Lab): What recent back a deal from Brussels. I believe it is the right deal discussions he has had with members of the WTO on for this country. If it is put in place, what the hon. global (a) food security and (b) agricultural trade. Gentleman describes will plainly not be an issue. [908319] Rebecca Pow (Taunton Deane) (Con): Happy Christmas The Minister for Trade Policy (George Hollingbery): I to you from Taunton Deane, Mr Speaker. [Interruption.] add my Christmas wishes to you, Mr Speaker. I thought I would get that in. Both issues have been covered recently in discussions The EU is the largest trading partner for agriculture with World Trade Organisation members. For example, and food for this country and, under our relationship agricultural global value chains were considered at the with the EU, agriculture has blossomed. Margins are recent G20 trade and investment working group. As a very tight. Will the Minister give assurances that, in the supporter of the rules-based multilateral trading system, worst-case scenario, agriculture will not suffer under we believe that WTO members must continually look WTO rules? In the best-case scenario, does he agree that for ways of strengthening the system. accepting the deal is by far the best option for our farmers? Kerry McCarthy: I understand that a number of important WTO member states have objected to the George Hollingbery: I apologise, Mr Speaker—I was UK and EU splitting tariff rate quotas post Brexit. At not listening carefully to the question. I am told by my the end of October, the Secretary of State announced Front-Bench colleagues that the answer is yes and yes. that the UK would be entering into general agreement on tariffs and trade negotiations.Is that another illustration Mr Speaker: I think we appreciate the Minister’s of the fact that we cannot unilaterally negotiate trading candour. There was no dissembling there, and we thank arrangements post Brexit with other countries, and that him for that. it requires agreement? It looks like it will be an incredibly lengthy and tortuous process that will not have quick Nick Smith (Blaenau Gwent) (Lab): Merry Christmas results. to everybody. Will the Minister confirm that any future trade George Hollingbery: The hon. Lady will know that agreements will not undermine current environmental the vast majority of nations represented in the WTO and animal welfare standards? accepted the deposit of our schedules. Some did not and we are entering article 28 negotiations with them, George Hollingbery: On this occasion I was listening as is completely normal. We can trade on those schedules and have the question in my mind. I deeply apologise to as deposited until then—the European Union has been my hon. Friend the Member for Taunton Deane (Rebecca trading on uncertified schedules since 1995, so it should Pow)—she is listed as having another question. not impede our trade. Yes, negotiations will continue to agree those tariff rate quotas. My right hon. Friend the Secretary of State has repeatedly made it clear in the House that we will not Mr Richard Bacon (South Norfolk) (Con): You have lower our standards in pursuit of free trade agreements.