Trade Bill — House of Lords, 2020-10-13
Topic: Foreign Trade
Gerald Grimstone (Conservative, Centre-right): My Lords, we have had yet another interesting debate where the expertise of noble Lords has been on full display, even if that meant repeating what have perhaps become familiar arguments Amendments 54 and 55 in the names of my noble friend Lady McIntosh of Pickering, and the noble Baronesses, Lady Henig, Lady Ritchie of Downpatrick, and Lady Jones of Moulsecoomb, would set up a new trade body, the international trade commission. This body would be responsible for setting criteria for assessing whether provisions in FTAs on imports of goods into the UK meet or exceed domestic standards of production and would, as a result, set restrictions for which goods could be imported under trade agreements. The other place has debated whether imports would need to meet our domestic production standards—a requirement which would be in addition to meeting existing specifications such as on food safety standards—and decisively rejected such a suggestion The Government absolutely recognise the strength of feeling around standards and imports of agricultural products into the UK. We have not only reaffirmed our commitment to maintaining high standards during debates on both this and the Agriculture Bill, and on many other occasions, but have taken clear action. I hope to explain this in more detail shortly. However, I first ask your Lordships to consider the real effect of Amendment 54. It would establish a new, permanent and unelected body, which would set criteria for assessing and scrutinising international trade agreements before they could be laid in Parliament The Government consider that this would be inappropriate and harmful to the due process of parliamentary scrutiny—a process which already includes an assessment of the impacts of the trade agreement and allows time for both the International Agreements Sub-Committee of our House, and the International Trade Committee in the other place to produce an independent report on it. The amendment would suspend parliamentary scrutiny of new trade agreements until this new body had been established and the criteria set. I believe that this would harm the interests of UK businesses and consumers. Importantly, it would also leave Parliament beholden to the terms set by the international trade commission. Moreover, the establishment of such a body would place it in direct conflict with existing bodies, which already have the remit and expertise to oversee and advise on standards, such as the food standards agencies, the trade advisory groups and the new Office for Environmental Protection. The creation of an international trade commission would only cause confusion with these trusted agencies, to the detriment of all. Furthermore, the amendment would require overseas countries to produce—and demonstrate that they produce—to UK standards before we would be able to import those goods. As I said, the criteria for such assessment would rest in the hands of a new, untested and unelected trade body Currently, the UK imports enormous volumes of food from overseas, including from the developing world. An amendment such as this could have far-reaching and, I am sure, unintended effects, preventing the UK being able to import a range of foods, with significant knock-on effects for supply chains, businesses and consumers within the UK, as well as, importantly, for developing countries and other export partners, which send agricultural products to the UK. For example, Vietnam, Ghana and Indonesia are major exporters of coffee to the UK, and we receive large volumes of bananas from countries such as the Dominican Republic, Belize and Cameroon. The impact of this amendment, requiring countries to meet the UK’s specific standards across a range of criteria, could ultimately prohibit imports from these trade partners and, in doing so, lose a valuable income stream for those developing countries as well as, frankly, affecting the British businesses and consumers who depend on them. My noble friend Lord Lansley made some powerful points in this regard about the damage that this would cause The standards that this amendment seeks to protect are already enshrined in domestic statute and the Government will uphold them. Of course, any changes to existing standards would require new legislation to be scrutinised by Parliament. Decisions around standards are a matter for Parliament and will be made separately from negotiations. I hope that the noble Lord, Lord Purvis, will agree with me, even as a new boy, that statutory instruments are a statutory process The Government have taken decisive action to uphold our commitments to high standards. First, we have established new trade advisory groups, including a dedicated agrifood group, which will provide technical and strategic expertise that will feed directly into negotiations. Members include such organisations as the Agriculture and Horticulture Development Board, the British Retail Consortium, the British Beer and Pub Association, the Scottish Seafood Association, UK Hospitality and Tesco, among others. I hope that the noble Baroness, Lady Henig, will accept that it would be highly prejudicial to the United Kingdom if our negotiating stance became public when we are in the middle of negotiations. We want to draw on the expertise of the members of these groups during negotiations. This is not secrecy for secrecy’s sake but common sense in asking them to keep confidential the information they receive from their privileged position in these groups In June, the Secretary of State for International Trade established the Trade and Agriculture Commission, which brings together stakeholders from across the sector to provide recommendations that will inform the Government’s decisions and policy-making in relation to agriculture. The commission will produce a report with its recommendations and the Government have committed to laying this before Parliament. My noble friend Lady McIntosh of Pickering asked about the resources available to the commission; sadly, I do not have this information to hand but I will write to her The recommendations made in the Dimbleby report are under consideration by Defra and will no doubt be responded to by my colleagues there in due course; as my noble friend Lady Noakes reminded us, this report has not yet been finalised. Furthermore, we have listened to concerns around animal welfare in production and have committed to a rapid examination of what can be done through labelling to promote standards and high welfare across the UK. Our various new initiatives and the setting up of new groups for exploring issues around standards and international trade policy are already looking to tackle some of the issues raised by this amendment. I would, of course, be very happy to meet the noble Lord, Lord Stevenson, to discuss these matters further. In summary, however, we consider that the creation of a further new body would risk harmful conflict with existing groups with similar functions. I hope that I have managed to reassure my noble friend and other noble Lords that there is no need for the body they propose. I therefore ask that the amendment is withdrawn.