Trade Agreements Programme

Answer from The Minister for Trade Policy and Economic Security (Mr Douglas Alexander)

I pay tribute to Cumbernauld’s advanced manufacturing capability. It is estimated that the UK-India free trade agreement will boost the whole UK economy by £4.8 billion and grow trade with India by over £25 billion annually. The Scotch Whisky Association forecasts £1 billion in extra exports and 1,200 new jobs. For Irn-Bru, which I understand is headquartered in my hon. Friend’s constituency, the agreement also removes India’s 33% tariffs on UK soft drinks. This India deal was delivered in the UK as a result of the hard work of our negotiators and the leadership of the Secretary of State, and it will benefit exporters and advanced manufacturers right across our country.

Answer from The Minister for Trade Policy (Mr Alexander)

I pay tribute to the craftsmanship and global ambitions of Alex Begg in Ayr. My mother’s side of the family are all from Ayrshire, so it would be a personal pleasure to visit Ayrshire, as my hon. Friend suggests. I would suggest that we could visit Alex Begg during the summer recess, but then again, as Billy Connolly once observed: ‘There are two seasons in Scotland: June and winter.’

Answer from The Minister for Trade Policy (Mr Alexander)

I am grateful that at least one of the Opposition parties accepts that there is a deal. The hon. Member is right to recognise that the implementation phase is what we are now relentlessly focused on. I am sure the House will be aware of the statement issued overnight by US Commerce Secretary Howard Lutnick, confirming that the US will expedite the agreed quota for car exports to the United States, reducing tariffs from 27.5% to 10%. The Government continue to work on this important deal.

Answer from The Minister for Trade Policy (Mr Alexander)

The hon. Lady raises a critical issue. The British Government have a long-standing opposition to the illegal occupation of lands in the Palestinian territories, principally in the west bank. We have been clear and consistent that, on the grounds of international law, the responsibility lies with the Israelis to resolve these issues. On the points she raised, it is a significant and contentious enough issue. I will be happy to write to her, but it has been clear for many years that we oppose the settlements and continue to do so.

Answer from The Minister for Trade Policy (Mr Alexander)

I am very happy to consider the issues that the hon. Lady raises in relation to the website, but I can assure her that, whether it is the Minister for Industry or the Secretary of State for Business and Trade, the Government are in constant dialogue with the British steel industry. We will introduce a steel strategy, unlike her predecessors, and we have put serious money behind it. Thanks to the economic prosperity deal with the United States, the UK was the only country to be made exempt from the 50% tariffs on steel and aluminium that other countries around the world now face.

Answer from The Minister for Trade Policy (Mr Alexander)

I sympathise with a lot of what the hon. Lady has said. She is right to recognise that post Brexit we have broadly overperformed in services, relative to expectations, but significantly underperformed in terms of goods exports. That was in no small measure because a number of food and agriculture producers were buried in red tape and new paperwork. That is exactly why, as she suggests, the SPS deal is critical. Again, I welcome the fact that, for the second time today, we are being challenged to go further and faster on deals that we have delivered. I can assure her that, as I have said in relation to the United States, we take seriously our responsibilities on the implementation of SPS, but that places responsibilities on the British Government and, in this case, on the European Commission.