Category: Trade

  • Nick Thomas-Symonds – 2023 Speech on Conclusion of CPTPP Negotiations

    Nick Thomas-Symonds – 2023 Speech on Conclusion of CPTPP Negotiations

    The speech made by Nick Thomas-Symonds, the Shadow Trade Minister, in the House of Commons on 17 April 2023.

    I am of course grateful to the Secretary of State for giving me advance sight of her statement, but having listened, the detail is paper thin. The published negotiating strategy from the UK Government was limited and even the policy paper that was published alongside the announcement on 31 March is very general indeed. The Secretary of State herself has been on the airwaves questioning the projections of her own Department that this offers 0.08% to our GDP. And while there has finally been progress in the CPTPP accession talks, this does not make up for the failure to deliver the India trade deal, or indeed the US trade deal, promised by the end of last year. Perhaps the Secretary of State can tell us when that US deal might be completed, given that negotiations are now not expected even to begin until 2025.

    We on the Labour Benches are pro-trade, pro-business and pro-worker. Accessing new markets is essential, and it is particularly welcome because of the Government’s dreadful record on trade. The Office for Budget Responsibility forecasts that UK exports are due to fall by 6.6% this year, which is a more than £51 billion hit to the UK economy. That will only further impact on our public services, which are already under incredible pressure, and make the cost of living crisis even worse.

    What exactly Ministers have agreed to in these accession talks will need to be scrutinised carefully, because I have watched Ministers come into this Chamber to laud trade deals, only to criticise them when they leave office or, in the Prime Minister’s case, when they are temporarily out of office—he said the Australia deal is “one-sided.”

    This announcement was slipped out on the last day before recess. Of course it is great that the Secretary of State is here, but answers are needed. First, other countries that have joined CPTPP have secured important safeguards and support for their producers. It is vital that Ministers set out the details of what they have negotiated. In her statement, the Secretary of State mentioned that all trade deals involve a quid pro quo, but she did not say what the quid pro quo is in respect of CPTPP.

    Specifically, New Zealand put in place side letters with all the other signatories to opt out of the investor-state dispute settlement mechanism, which could give investors from abroad the right to sue the Government for choosing to regulate in a particular area. The Government seem to have excluded ISDS with Australia and New Zealand, but not with the other countries. Why have they done that, and what assurance can the Secretary of State give that the Government can legislate in the interests of the British people without the threat of being sued under this mechanism?

    The Secretary of State mentioned maintaining certain protections for agriculture, but can she be more specific? What particular support will the Government offer to the agricultural sector and when, particularly given the strong feeling that Ministers sold out our farmers to get the Australia deal over the line? Have specific conditions been put in place to address concerns about the importation of palm oil, which has been linked to deforestation?

    The Secretary of State did not even mention the devolved Governments in her statement. What engagement does she proposes to have with them? What detailed assurances can the Government provide that the CPTPP agreement will not undermine the Windsor framework?

    The Secretary of State also mentioned our influence as a member of CPTPP. We know that China applied to join in September 2021, so what assurances on economics and security have Ministers asked for from existing members in respect of China’s application?

    The Secretary of State also mentioned the chapters in CPTPP, including on workers’ rights, on which she will know there are concerns in particular member countries. How will Ministers assure us that the strongest possible workers’ rights are adhered to, to ensure that UK workers operate on a fair playing field and that vulnerable workers internationally do not face exploitation?

    I know that the Secretary of State does not accept the estimate that accession is worth 0.08% of GDP but, rather than debate the figure, what proactive steps will the Government now take to support our exporters to ensure the figure is driven up?

    Kemi Badenoch

    I am very grateful to the right hon. Gentleman for his questions. I know it must be difficult to sit on the Opposition Front Bench and find a way to celebrate while we agree this fantastic trade deal. The Labour Front Bench look like they have been sucking lemons. I am thrilled to be able to answer pretty much all his questions.

    First, the right hon. Gentleman claims that this deal has happened at the expense of the India free trade agreement, but I stood at this Dispatch Box and told him that it is about the deal not the day. I know the Labour Front Bench would like us to rush into a deal that does not get the best for this country so that they have something to criticise, but we are not going to do that. We are going to negotiate a free trade agreement that is of mutual benefit and meets the needs of both UK and Indian citizens.

    The right hon. Gentleman is right to say that we have not got a US FTA, but that is because the US is not doing FTAs with any countries; this has nothing to do specifically with the UK. When Administrations change, we cannot control what the partner country wants to do. So instead of just moaning, we have got on and signed memorandums of understanding with US states. Indeed, the Minister of State, Department for Business and Trade, my hon. Friend the Member for Mid Worcestershire (Nigel Huddleston) is not here today because he is on a plane to Oklahoma to sign such a deal. I am pleased to let the House know that.

    The right hon. Gentleman talks about a quid pro quo, and this is absolutely right. One trade lesson 101 that I would like to give him is: you cannot agree a trade deal where you get everything you want and tell the people on the other side that they can have nothing. If he has a formula for negotiating a deal where we can sell everything to other countries and they cannot sell anything to us, he should come to the Floor of the House and explain how that can be done. A quid pro quo means having a deal that is of mutual benefit: we open our markets and they open theirs. When the legal text is done and we sign the agreement, there will be plenty of time to scrutinise—[Interruption.] He is chuntering from a sedentary position, “What is it? What is it?”. I would like him to read the statement or listen to it. We have said that 99% of goods will be tariff-free. That is something that we have negotiated across all parties. We have also talked about what we get from rules of origin.

    The right hon. Gentleman was clearly listening to me on the radio when he heard me dispute the 0.08% figure. That is not because the figure is wrong; it is because it is doing something different from what he thinks it is doing. It is a model, not a forecast. What we do with models is quite different from what we do with forecasts. The model he is touting at the moment is not tailored for the specific behaviour and dynamics of the UK economy, it uses data from 2014 and it excludes growth in the membership of the bloc to those who have applied. So what we should not look at is the 0.08% figure, as it is purely a measure of what would happen if we did not have this trade deal—that is how the model works, and models are not forecasts. Instead, I ask him to focus on the facts, which I have repeated time and time again: the global middle class is going to be coming from the Indo-Pacific; we are talking about 500 million consumers; and by 2050, it is going to outstrip the European Union. We are getting in from the ground up and we are going to be shaping the future of the UK for future generations. This is not about trying to grow trade in the next five minutes. I have used the example previously, but this is like investing in a start-up and complaining that it is not brought any money in as soon as you have signed the agreement. We are thinking about the future, not the past.

    The right hon. Gentleman also mentioned what we are doing for the agricultural sector, and I point to what the National Farmers Union said. We know that British farming is not going to succeed unless we can export. We have created an exporting deal; this is not just about the exports, but the services. All of that is going to benefit farmers and the agricultural sector, to the point that the NFU has come out to support this deal. I hope that Opposition Members can do that, even though it was us who negotiated it. I would like it if they would think about the country and not just about party politics.

  • Kemi Badenoch – 2023 Statement on Conclusion of CPTPP Negotiations

    Kemi Badenoch – 2023 Statement on Conclusion of CPTPP Negotiations

    The statement made by Kemi Badenoch, the Secretary of State for Business and Trade, in the House of Commons on 17 April 2023.

    With your permission, Madam Deputy Speaker, I will make a statement on the progress of negotiations for us to join the comprehensive and progressive agreement for trans-Pacific partnership.

    I am delighted to announce that since we first launched consultations in 2018, and after nearly two years of talks, the UK has substantially concluded negotiations to accede to the CPTPP. We will become the first country to join since the original partnership was founded. I am also pleased to tell the House that we are delivering on our post-Brexit agenda for a modern, free-trading global Britain, and that this agreement represents the future of global trade. Our negotiators have spent 21 months working painstakingly, and often through the night, to secure the best deal for the UK, and that is what they have done. This is an outstanding deal for our country, giving access to a fast-growing economic bloc that will allow us to sell our goods and services without giving up control of our laws.

    Before I continue my statement, let me thank former Secretaries of State for International Trade. I thank my right hon. Friend the Member for North Somerset (Dr Fox), who developed this strategy and without whom today would not have been possible. I thank my right hon. Friend the Member for South West Norfolk (Elizabeth Truss), who first appointed me as Trade Secretary, and who launched the negotiations and ensured throughout her tenure that this was a deal that would be delivered. I thank the present Minister of State, Foreign, Commonwealth and Development Office, my right hon. Friend the Member for Berwick-upon-Tweed (Anne-Marie Trevelyan), for her support and invaluable advice. I also thank my current and former Trade Ministers.

    I am told that Their Excellencies the Japanese and Vietnamese ambassadors are with us today. It should not go without saying that both countries were extremely supportive of our accession. I thank the ambassadors and their countries, and the various negotiators and working groups, for everything that they did to help the UK to accede today.

    The CPTPP will act as a gateway to the Indo-Pacific, one of the most dynamic and fastest-growing regions on Earth. The Indo-Pacific is expected to account for the majority of global growth by 2050. The CPTPP will grow nearly 40% faster than the EU over the next three decades, and membership of the bloc will enhance access to a market of more than 500 million consumers for the UK’s goods and services. That is why I described the CPTPP as representing the future of global trade. The brilliant terms that we have secured mean that British businesses will be able to target these dynamic economies, which will account for 15% of global GDP once the UK has joined. As the partnership grows, so will its role in shaping the rules of global trade. This alliance will help us to confront growing protectionism and unfair trading practices, putting us in a stronger position to withstand global shocks.

    British businesses will enjoy new opportunities as part of the CPTPP. For instance, 99% of current UK goods exports to its members will be eligible for tariff-free trade, new tariff reductions with countries such as Mexico and Canada will boost export opportunities, and a new free-trade deal with Malaysia will open up a £330 billion economy to the UK.

    We will benefit from reduced red tape and simplified customs procedures across the bloc, and from modern rules of origin that offer British businesses new export opportunities and could help support UK efforts to diversify critical supply chains. We have all seen what can happen to supply chains when economic shocks happen. This global flexibility with like-minded partners will help British firms to become more resilient and protect economic security. For supply chains, this partnership is the future of global trade.

    As a Minister who represents a rural constituency, I understand the concerns farmers may have about trade agreements because they have told me about them many times, so I know that Members representing agricultural communities will be delighted with the opportunities the CPTPP presents. I would like to put on record my thanks to the President of the National Farmers Union, Minette Batters, for recognising the opportunity to, as she puts it,

    “get more fantastic British food on plates overseas”.

    As the world’s demand for meat and dairy changes, having better access to growing and dynamic economies in other parts of the globe will protect British farmers and food producers into the future.

    Our farmers will benefit from increased market access on these products, including through tariff free exports to Mexico for beef, pork and poultry and new zero-tariff access to Canada’s butter and cream market, which we did not have under our existing EU roll-over agreement. Our cheesemakers will have new market access to additional shared quotas, equating to about 7.5 times the amount we currently export to Canada, and our distillers will benefit from the elimination of tariffs of around 80% on UK whisky to Malaysia within 10 years. So for food and drinks exports, the partnership represents the future of global trade.

    The UK is already a services superpower. Our digital, financial and legal services, among many others, are the envy of the world. This world-leading agreement will help them to grow further still. In future, a British firm will be able to operate on a par with a Vietnamese one without setting up a Hanoi branch. British firms will face less red tape in doing trade and business travel will become smoother and easier. For the modern services and tech economy, the partnership represents the future of global trade.

    As you will know, Madam Deputy Speaker, no trade agreement comes without a quid pro quo, but we have taken our time to get this deal right for the UK and we never compromise on food quality or animal welfare standards. Joining CPTPP is no different. We will not have to change our standards to join, including on chlorine-washed chicken and hormone-fed beef, as many detractors would like to have the British public believe. We have also made sure that our high environment and labour standards are protected, so the CPTPP agreement includes comprehensive chapters for environmental protections, anti-corruption and improving workers’ rights. We have secured appropriate protections for the UK producers, reducing import tariffs in a manner proportionate to the market access we have received, and maintaining protections where needed.

    Membership will enable us to shape the future of the agreement, including its future membership, and it will increase our influence and that of the wider bloc in setting the rules of the global economy. CPTPP shows how sovereign countries can uphold high standards without being subject to foreign court rulings or membership fees.

    Parliament will rightly want ample opportunity to scrutinise this deal before ratification. My Department will follow the process set out in the Constitutional Reform and Governance Act 2010. Parliament will also have the opportunity to scrutinise any implementing legislation, as was the case with the recent Trade (Australia and New Zealand) Act 2023. The people of this country have voted for the future of global trade, not the past. On goods, on services, on supply chains, on growth and on rules-based trade without ceding sovereignty or losing control of our borders, this agreement lives up to that instruction. We are securing a place for the UK in the future of global trade, and I commend this statement to the House.

  • Kemi Badenoch – 2023 Statement on Investment Treaty Negotiations – Singapore

    Kemi Badenoch – 2023 Statement on Investment Treaty Negotiations – Singapore

    The statement made by Kemi Badenoch, the Secretary of State for Business and Trade, in the House of Commons on 29 March 2023.

    The Government will shortly commence negotiations with Singapore to deliver a new, modern investment treaty. Negotiations build on the strong investment relationship between our two nations and represent the United Kingdom’s Indo-Pacific tilt.

    As of 2021, the stock of UK investment in Singapore totals £11.4 billion and the stock of Singaporean investment in the UK totals £12.0 billion, up from £4.1 billion in 2012. The United Kingdom and Singapore share a joint ambition to further strengthen our trade and economic relationship, deepening trade and increasing investment flows for the benefit of both countries.

    That is why we are pursuing a new, modern investment treaty. This will fulfil a commitment made in the free trade agreement between the United Kingdom and Singapore, and it is an opportunity to put the UK at the forefront of international best practice. This follows on from the successful UK-Singapore digital economy agreement last year.

    His Majesty’s Government remain clear that, in addition to guaranteeing clear standards of fair treatment to investors, any deal we sign will be in the best interests of the British people and the United Kingdom economy. We will not compromise on our high environmental, public health, animal welfare and food standards, and we will maintain our right to regulate in the public interest.

    We are also clear that this negotiation will not open the NHS to further competition and overseas companies will not be able to take legal action to force us to do so.

    The Government will update Parliament as we reach key milestones in negotiations.

  • Therese Coffey – 2023 Speech to the NASDA Conference in Virginia

    Therese Coffey – 2023 Speech to the NASDA Conference in Virginia

    The speech made by Therese Coffey, the Secretary of State for Environment, Food and Rural Affairs in Virginia, the United States on 15 February 2023.

    Thank you, Ted, and thank you to NASDA for inviting me today.

    It is a particular privilege as I understand that this is the first time a foreign Secretary of State for Agriculture has been invited to address NASDA, and it comes at a particularly interesting time as we are still suffering the economic aftershock of Covid, global supply chains are still recovering, the illegal invasion of Ukraine by Russia has really impacted one of the most important agricultural countries in the world.

    I am very proud that our two countries continue to stand shoulder to shoulder with Ukraine though this terrible ordeal, from supporting heroic efforts to get the harvest in amid the turmoil of war and share it with some of the world’s poorest and most vulnerable people, to working together through the G7 to identify stolen grain and frustrate Russia’s efforts to profit from theft.

    But all this to me reinforces the need to champion free trade. And I’ve spent the last few days in the great state of North Carolina. The UK is their biggest market for sweet potatoes – but it doesn’t stop there. They told me they wanted to get on with a free trade agreement and I hope we can resume our talks soon.

    I am no stranger to the USA and the food industry, as I used to work for Mars Incorporated – who produce human food and pet food (not in the same factory you will be pleased to know) – my understanding of the global food supply chain was certainly enhanced by working there.

    Even in a country as blessed and resourceful as the USA on food production, trade is essential. That cup of Joe in the morning or the candy bar pick-me-up cannot exist without the imports of the key ingredients.

    In the UK, we only have domestic self-sufficiency of about 60% and we want to maintain that at least, if not consider higher. We do know that we can see the pressures of the environment and changes in the seasons. We see that for ourselves alongside the global demand for products and the supply chain for such ingredients and farming techniques have to be ever more sustainable and agile to deal with the challenges ahead. We also have to see that alongside other pressures – particularly the food inflation which is really challenging families with the cost of living.

    We have also been on a journey since we left the European Union. We have undertaken two significant pieces of legislation for farming. In 2020 we passed our Agriculture Act which gave us freedoms on how to support our farming industry and reduce red tape. And most recently the Gene Editing, the Precision Breeding Bill – which should be in law very soon – will allow the latest technology to help food become more resilient, whether that be a new wheat crop resistant to climate change, or that can design out weaknesses to pests and ultimately reduce our need for quite so many pesticides, particularly those harmful to pollinators.

    Now we have some prominent research institutes in the UK that I fully expect to start to take advantage of these new freedoms because it is through science, innovation and technology that our farming industry will continue to be sustainable. It is so important in the UK that our Prime Minister has just created a brand new government department to give that leadership and focus to science innovation and technology.

    And that is why I started my trip to the USA by visiting agritech businesses in North Carolina. I particularly enjoyed the trip to the new world-class Plant Science Initiative facility at North Carolina State, ably led by Adrian Percy who was once a British academic. Of course I enjoyed some classic North Carolina hospitality, especially the grits, and I was pleased to promote some new entrants into the market, starting with some Brit expats blending the best of British and American at the Fortnight Brewery in Cary.

    Now while we missed seeing Commissioner Troxler in his home state – Sir, it was a pleasure to meet you last night and you have a very fine state and certainly the UK has embraced your sweet potatoes. I’m conscious that just by singling out North Carolina I may have alienated the 49 other states, but I know that you have fantastic produce as well.

    I want to recognise and commend the USA’s leadership – including NASDA’s leadership on trade, sustainability, and innovation. And I think that the US and the UK are in a perfect position to develop our partnership on this even further in the months and years ahead. We can and we will build on good foundations as we already see some pioneering technology at work.

    That could be the UK-based company developing drone software that is now being used by farmers in New York and Michigan States, promoting sustainable approaches to managing pests in their apple orchards, maximising their harvest, saving them time and money, improving the natural environment, and boosting their profitability as well. Frankly – what’s not to like?

    I know some of your colleagues from NASDA saw that technology working wonders on a field in Kent in the UK during your visit last fall and I hope that many more American and British businesses will be able to benefit from this sort of collaboration.

    Now our trade relationship is worth more than two hundred and fifty billion dollars overall. The US is already our largest single trading partner and our top investor – creating twenty-seven thousand UK jobs last financial year alone, with one and a half million people getting up and going to work for American companies in the UK, alongside the more than a million people who do similarly for British companies in the USA as well.

    So, let’s build on that together.

    My portfolio as Secretary of State is rare if not unique in the world’s largest economies as it covers both the environment and agriculture. Now at times there can be seen to be conflict between the two, but far from being mutually exclusive, I actually see that they can be symbiotic.

    I expect that you as agricultural commissioners and directors and secretaries would likely agree with me that our farmers are the original friends of the earth. Their custodianship, their stewardship, is absolutely vital to the wellbeing of our planet as is their regard for animal welfare, which I know you know is something UK consumers care about, as do your consumers too.

    While I represent a rural constituency known for its pigs, potatoes and parsnips, I am well supported by my farming minister Mark Spencer, who is still a practising farmer and whose family have worked the land for four generations. So coming from that background, in addition to the global pressures that are currently affecting prices, energy, and supply chains, I’m very aware that farm businesses are now facing a range of challenges from historic flooding and drought in a changing climate, to outbreaks of pests and diseases.

    So it is crucial we support our growers and their businesses to become more resilient to these impacts.

    And the UK – having left the European Union – we have seized the opportunity to shape our own agricultural policy for the first time in half a century. So I’d like to share our approach, for food for thought.

    Recognising farming is the backbone of our second largest manufacturing sector, the food processing sector, it brings jobs to every county and plays a vital role in rural communities.

    In England, 70% of the country is farmland. So farmers hold the key to making the most of our land for all the things we want to achieve, including not just food security, but also our plan to improve the state of nature.

    And our view is that making space for nature can and must go alongside sustainable food production – indeed, working with nature, not against it. And while rightly there is an ongoing role for pesticides, we think we should not be using them quite so liberally, especially when they impact on other pollinators.

    But that is why we are designing, developing, and deploying new and improved funding programmes with our farmers, not imposing on them. Because we want to make it as easy and attractive as possible for businesses of every shape and size to apply and get involved on the way forward.

    Our aim is to provide a menu of different actions that farmers can be paid to do, and for each business to choose what works best for them as part of their plan to improve the productivity, profitability, sustainability, and resilience of their business for the future.

    In practice a lot of this is not new. It is rediscovering the agricultural techniques of our forefathers and marrying them with the latest scientific innovation. For example, we all know that good soil and a steady supply of clean water are absolutely crucial for a healthy crop, as well as forming the building blocks of a resilient ecosystem. A healthy environment is inherently linked to food security.

    Indeed in nurturing and utilising more of our natural capital, for example through good soil husbandry, we can reduce input costs from increasingly costly chemical fertilisers, and boost the long-term resilience of our food system. What that means is that we’re using taxpayers’ hard earned money to reward our farmers for the work that they do that is not yet fully rewarded by the market.

    But that benefits us all, including taking on the global challenges of antimicrobial resistance and zoonotic diseases. Embedding the nature-based solutions like trees that provide effective, cost-effective solutions to so many challenges including absorbing carbon, and protecting homes, businesses, and indeed entire communities from the impacts of droughts and flooding.

    Working with all our farmers and growers to produce world class food while protecting the land they rely on. That is the outcome that we want to see.

    Ultimately we know that as we lose the abundance, diversity, and connectivity of flora and fauna, we risk overturning the delicate global web of life that underpins our food security. And we have made a commitment – in law – to report to our parliament on the state of our nation’s food security at least once every three years. So that we keep a close eye on the evolving picture as our climate and indeed global geopolitics continues to shift.

    Now I know that you are in the thick of Farm Bill preparation here in the US, encompassing jobs as well as innovation, infrastructure, research, trade, and conservation. So, I look forward to hearing more about that here at NASDA. I think that we agree, that where decades, even generations of hard-won experience have given us a strong sense of what already works, we need to recognise the importance of the solutions that farmers bring to the table, and not forever reinvent the wheel.

    In everything we do, we need to reflect the immense contribution farming makes to our communities, our respect for cherished ways of life – particularly rural life – and the sheer grit, ingenuity, and determination it takes to keep us fed, whether that be to get up at the crack of dawn every morning to milk the cows, or the day-in-day-out nurturing of crops.

    Technology has helped us with some of that of course. But the cows are never going to milk themselves. But we also know that farmers have always been a part of good animal welfare – and that they can and must be a part of improving that in the future as well.

    Don’t worry, I’m not going all vegan or vegetarian on you. Meat is certainly still very much on my dietary plate. Caring for animals with good levels of husbandry is the right thing to do – and the smart thing to do as well if we want to improve biosecurity, prevent diseases and stop them from spreading like wildfire, as we know they can. That has an impact not just in one state or one country, but indeed on trade exports around the world.

    We have experienced that in the UK, and it is why we’re just recovering in some areas like lamb. And we need to make sure we continue to have that biosecurity ever present.

    I think it is important to say that together, we are stronger, we are more resilient and that collaboration, those high standards that we share, build our trust in each other which, of course, helps us trade with each other.

    And while there may always be an element of risk with food security in this changing, evermore interconnected world, when unexpected challenges and shocks raise their head, we have always been there to help each other out – as the UK did last year, when a domestic producer was hit by a bacteria outbreak, a UK-based company was proud to step into the breach to make sure American families had access to vital baby formula, and it was the first foreign company to do so under an expedited process thanks to that trust in each other.

    So friends, I want to thank you again, for the honour of speaking today, for inviting me to see some of the pioneering work underway, by redoubling the deep and enduring bond between the British and American people that makes our relationship so special.

    Ted, I think you said earlier that NASDA wants to be the best partner in your relationships. Well I can tell you that the reception you put on for Valentine’s night, that speed dating, I can assure you, you have a willing future partner in me and certainly in the UK.

    By learning from each other and working together, we will have done right by each other, and critically we will have done right by every generation yet to come. Thank you ladies and gentlemen and God Bless America.

  • Alex Chalk – 2023 Speech at the Global Investment Summit in India

    Alex Chalk – 2023 Speech at the Global Investment Summit in India

    The speech made by Alex Chalk, the Minister for Defence Procurement, in Lucknow, India on 13 February 2023.

    Thank you Honourable Chief Minister for that warm introduction. It is an enormous pleasure to be here in Lucknow today for the Global Investment Summit.

    As some of you may know, for me personally this has felt less of a visit and more of homecoming.

    Because it was here in Uttar Pradesh that I spent a formative period of my life as a young graduate, living and working as a teacher in this beautiful state and gaining experience that continues to influence me today. Yesterday I travelled to Bakshi-ka-talab for an emotional reunion with Sushma Singh and her family.

    It was emotional because I formed a strong attachment to this remarkable country and its people. From the holy city of Varanasi, to the wonder of Agra. I knew then that India was destined for an extraordinary future. In the intervening two decades, India has indeed become great. But in truth, it is only just getting started.

    As well as successfully holding the presidency of the G20, India’s growing economy is accelerating past others, and is already bigger than Britain’s. That trend will only continue. We don’t just acknowledge that – we admire it and we celebrate it.

    Because I come here today as a representative of a new kind of British Government. The torch has truly passed to a new generation of British ministers, led by my friend and colleague, Prime Minister Rishi Sunak – who has already established an excellent relationship with Modi Jee.

    Because this is a generation of ministers that has studied and come of age in one of the most diverse countries on Earth. A country of pluralism, of tolerance. A country where I can tell you that this minister’s children celebrate Diwali with all the enthusiasm that they show for Christmas.

    And above all, like you, a meritocracy – a country where it doesn’t matter where you’re from, it’s where you’re going that counts. And UP is certainly going places.

    And when it comes to our country, the United Kingdom is more open, more outward-looking, more globalist than ever before. Global Britain is not a slogan – it is a fundamental part of our modern DNA. And it’s absolutely at the heart of why I’m so delighted to be here.

    And so when I come back to Lucknow, and I see the road signs bearing that famous name, my mind does not turn principally to the past, our shared history or my own past. It turns with wonder to the extraordinary present of this mighty metropolis, and it soars on the promise of what tomorrow will surely bring.

    Because we meet here in one of the fastest growing economies in India, a state of over 200m people, a hub of research and development. A state that is restless for its future – just as Britain is.

    We know your ambitions Chief Minister for this state, for growing the economy this decade, for developing the infrastructure, and for establishing a defence corridor – the engine of new India’s growth. That vision is hugely exciting, and I would like our comprehensive strategic partnership to be the engine of each other’s growth.

    Indeed, we stand ready to be at your side, as partners, as we hurry towards that future. And to demonstrate that commitment I am joined today by more than 30 British businesses – firms that are already partnering with Indian counterparts and stand ready to deepen and intensify that relationship. We want to achieve great things together, and today they are signing seven MOUs, committing £165m of investment into UP and generating almost a thousand jobs.

    And when it comes to ties to India business is not beginning from a standing start. Since the turn of the century no G20 country has invested more in India than Britain. For its part, India is Britain’s second-biggest jobs creator.

    And in Defence we see with growing clarity where our relationship can go. On land, on sea, and in the air. And even in space and cyber.

    At sea, the crew of HMS Tamar’visited the Andaman and Nicobar Islands last month and exercised with the Indian Navy. Our flagship, the great carrier HMS Queen Elizabeth, sailed to the Indian Ocean in 2021 and took part in our most demanding bilateral exercise to date, Exercise Konkan Shakti, conducted by all three services from both countries.

    In the air, you’ll be aware of our regular joint exercise, Indradhanush, with tactics, techniques and procedures being shared between our aviators.

    And on the ground, where British participation in exercise Ajeya Warrior has strengthened our interoperability and shared skills in tackling terrorism, and boosting counter-insurgency capability.

    And that’s all before you factor in the extensive collaboration at an industrial level.

    Whether it’s our new Defence Industry Joint Working Group – launched last year. Whether it’s our Enhanced Cyber Security Partnership. Or whether it’s the regular bilateral consultations on space technology.

    And I see huge opportunities for our industries to collaborate in electric propulsion technology to power the Indian Navy, and complex weapons systems.

    And to support greater defence and security collaboration the UK has issued an Open General Export Licence to India, reducing bureaucracy and shortening delivery times for defence procurement. This is our first such licence in the Indo-Pacific.

    And tomorrow I look forward to emphasising to Indian defence colleagues that the UK stands ready to commit to something truly special: the largest ever transfer of jet engine technology from Britain to any other nation in our history. Technology that will give India sovereign Make-in-India intellectual capability, that will ensure India joins an exclusive club and becomes just the sixth country in the world to acquire this cutting-edge capability – and will empower India to export future fighters on India’s terms around the world.

    A strong, self-reliant, resilient India, with a sovereign defence industry to match.

    That’s good for India. That’s good for the region. And it’s vital for the world.

    That’s because wherever you are in the world, there is a growing, inescapable feeling that our planet is become more dangerous.

    Putin’s illegal invasion of Ukraine has shown us that the world is more connected and interdependent than ever. Rising costs, food shortages and instability are triggered across the world.

    And I know I don’t need to remind this audience that China’s increasing belligerence poses systematic challenges to the international rules-based order. It threatens to undermine those values that our free nations hold to be inviolable – democracy, good governance, human rights, the rule of law. And the right of any nation to preserve its territorial integrity.

    So accelerating our partnership is not a ‘nice to have’. It is a geopolitical necessity. And we need to get on with it.

    Prime Minister Rishi Sunak recognises that, and fired the starting gun on the latest sprint last week when he joined a meeting between India’s National Security Adviser Ajit Doval and his British counterpart Tim Barrow.

    Together they framed plans to strengthen cooperation on trade, technology and defence. And I know Alan [Gemmell, HM Trade Commissioner for South Asia] is going to be speaking in a moment about the various agreements we’re set to commit to writing shortly.

    We also have our Foreign Secretary, Chancellor and First Sea Lord all coming here in the coming week to further strengthen our relationship.

    And I’m here in UP, because we see special opportunity in this extraordinary state of UP, and the vision you have set out for development and defence investment.

    Twenty years ago, my pupils taught me:

    Pardesi pardesi jaana nahi

    Foreigner, don’t leave

    Pardesi pardesi jaana nahi

    Foreigner, don’t leave

    Mujhe chhod ke, mujhe chhod ke

    Leaving me behind

    Pardesi pardesi jaana nahi

    Foreigner, don’t leave

    Mujhe chhod ke, mujhe chhod ke

    Leaving me behind

    Pardesi mere yaara vaada nibhana

    My foreigner friend, fulfill your promise

    Mujhe yaad rakhna kahin bhool na jaana

    Remember me and don’t forget me

    Today, the Hindi slogan that comes to mind is:

    UK-UP: sAbka sat, sAbka vikAAAs.

  • Liz Twist – 2023 Parliamentary Question on the Parliamentary Scrutiny of New Free Trade Agreements

    Liz Twist – 2023 Parliamentary Question on the Parliamentary Scrutiny of New Free Trade Agreements

    The parliamentary question asked by Liz Twist, the Labour MP for Blaydon, in the House of Commons on 9 February 2023.

    Liz Twist (Blaydon) (Lab)

    What steps she is taking to support effective parliamentary scrutiny of new free trade agreements.

    The Minister of State, Department for Business and Trade (Nigel Huddleston)

    The Government are committed to transparency and effective scrutiny in our trade agenda, going beyond the statutory framework set out in the Constitutional Reform and Governance Act 2010. That includes providing extensive information prior to the commencement of talks on free trade agreements, as well as regular updates to Parliament during negotiations. At the end of negotiations, we have committed to additional parliamentary scrutiny time, as well as to publishing further information such as the advice of the independent Trade and Agriculture Commission.

    Liz Twist

    Over the last year, the Government’s former Environment Secretary, the right hon. Member for Camborne and Redruth (George Eustice), has labelled the Government free trade agreements a failure, and the Prime Minister has called them one-sided. Is such criticism the reason the Government spend so much time avoiding any real detailed scrutiny of these trade agreements?

    Nigel Huddleston

    I respectfully disagree with the hon. Lady’s characterisation that there is insufficient scrutiny, and I respectfully disagree with my right hon. Friend the Member for Camborne and Redruth (George Eustice), who made some comments earlier this year. Last time I answered this question, you quite rightly had a go at me, Mr Speaker, because I gave a long list of examples of extensive scrutiny on our free trade agreements. I will spare the House by not repeating it , but I refer the hon. Lady to the answer I gave previously.

  • Emma Lewell-Buck – 2023 Parliamentary Question on the Free Trade Agreement with the US

    Emma Lewell-Buck – 2023 Parliamentary Question on the Free Trade Agreement with the US

    The parliamentary question asked by Emma Lewell-Buck, the Labour MP for South Shields, in the House of Commons on 9 February 2023.

    Mrs Emma Lewell-Buck (South Shields) (Lab)

    What recent progress she has made on a free trade agreement with the US.

    The Minister of State, Department for Business and Trade (Nigel Huddleston)

    We recognise that the US is not currently focused on FTAs. However, we stand ready to resume negotiations when they are ready. In the meantime, we are working to improve the trading landscape, including by removing US steel and aluminium tariffs and lifting the US ban on British lamb and beef. We are also working with the US on areas of shared interest that include digital trade, small and medium-sized enterprise support and supply chain security.

    Mrs Lewell-Buck

    The reality is that there has been no real progress and, despite all the previous rhetoric, there remains no free trade agreement with the US. Does the Minister think his suggestion that this is the fault of the US President will help or hinder future negotiations?

    Nigel Huddleston

    As I said, the US is not currently negotiating FTAs, not just with us but with any other country. We are working and we have very good dialogue with one of our closest allies in so many areas, including economically, culturally and militarily, and that dialogue will of course continue. As I said in my previous answer, we are working in many areas, including steel and food, to create opportunities, alongside work in respect of the memorandum of understanding. Considerable progress can be and will continue to be made, even without an FTA.

    Sir Edward Leigh (Gainsborough) (Con)

    Global free trade is and always has been the greatest motor for global prosperity, which is why many of us voted for Brexit. A free trade deal with America is the greatest prize of all. Will the Minister confirm that, as far as we are concerned, there are no barriers at all—whether it be chlorinated chicken or whatever—to trying to conclude an agreement? We want this deal with the US. Does the Minister think that it will happen?

    Nigel Huddleston

    We are very keen to conclude a deal with the US, but, at the moment, it is not able to enter into those negotiations. However, that will not prohibit us from continuing to find opportunities and to remove barriers where and when we can, as well as seeking those opportunities across the world. I appreciate what the right hon. Member said at the beginning of his question about how we, on the Conservative Benches, are firm proponents of free trade. It is good for the UK economy and good for the world economy, and we need to continue to make sure that that message is heard loud and clear.

    Gareth Thomas (Harrow West) (Lab/Co-op)

    Had the Conservative party negotiated a free trade agreement with the US, as it promised at the general election, British firms would have been protected from new market barriers to green trade that are being introduced by the US Inflation Reduction Act 2022. That means that new investment and jobs here in Britain in green energy, electric vehicles and new technology are at risk. Is it not the truth that the infighting in the Conservative party last year meant that Ministers woke up much too late to the threat and that they have done far too little since to try to ameliorate the damage?

    Nigel Huddleston

    As I said, the US is not focused on free trade agreements at the moment, and we are disappointed that the US has opted to pursue policies in the Inflation Reduction Act that will harm British businesses and impact global supply chains. The UK expects to be and, as the closest ally of the US, should be part of any flexibilities in the implementation of the IRA, and we will continue closely engaging with the US Administration to ensure that UK concerns are addressed.

  • Gareth Bacon – 2023 Parliamentary Question on Metro Mayors and Foreign Direct Investment

    Gareth Bacon – 2023 Parliamentary Question on Metro Mayors and Foreign Direct Investment

    The parliamentary question asked by Gareth Bacon, the Conservative MP for Orpington, in the House of Commons on 9 February 2023.

    Gareth Bacon (Orpington) (Con)

    What recent discussions her Department has had with Metro Mayors on attracting more foreign direct investment.

    The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)

    I met Andy Street this week to talk about foreign direct investment, and Lord Johnson will meet the 10 Metro Mayors today and look to discuss how we can attract more investment into mayoral combined authorities and how the Department can connect strategic regional opportunities to major international capital, such as the sovereign investment partnerships that have been established over the past 18 months by the Department and the Office for Investment.

    Gareth Bacon

    I chair the all-party parliamentary group for London as a global city, and last year we published our first report, which featured analysis of the London-plus effect, a term coined by the London & Partners agency to show that our capital is the gateway to the world and that companies that first invest in London go on to contribute £7.6 billion and create 40,000 jobs throughout the country. Is my hon. Friend’s Department willing to consider convening roundtables with the Metro Mayors on how to maximise the potential benefit to the UK of the London-plus effect?

    Kevin Hollinrake

    My hon. Friend is absolutely right. Andy Street was very clear about the importance of London to regional development in the west midlands. The Department convenes roundtable joint sessions with the M10 Metro Mayors twice every year, in additional to ongoing ministerial-mayoral bilaterals and official-level engagement. Such meetings include the discussion of shared priorities in respect of international trade and investment and of greater collaboration throughout all regions to increase foreign direct investment from new and existing investors.

    Chris Elmore (Ogmore) (Lab)

    The Minister will know that there are no Metro Mayors in Wales, but there are city deals and leaders that link across the south-west of England into Bristol and across the south Wales belt. Will the Minister set out what he is doing to work with local government leaders in Wales to ensure that investment is brought into Welsh constituencies as well as those throughout England?

    Kevin Hollinrake

    The hon. Gentleman is absolutely right. We are pleased that across York and North Yorkshire we are about to get our own Metro Mayor; I am sure he is working hard to bring that kind of governance to his area too, because it clearly delivers opportunity right across the country. As he knows, the FDI stock in the UK is worth £2 trillion, which is the second highest amount in the world. I am sure the opportunities would be beneficial to the hon. Gentleman’s constituents should he strike that kind of deal.

  • Rachel Hopkins – 2023 Parliamentary Question on UK Automotive Exports

    Rachel Hopkins – 2023 Parliamentary Question on UK Automotive Exports

    The parliamentary question asked by Rachel Hopkins, the Labour MP for Luton South, in the House of Commons on 9 February 2023.

    Rachel Hopkins (Luton South) (Lab)

    What steps she is taking to help increase automotive exports.

    The Minister of State, Department for Business and Trade (Ms Nusrat Ghani)

    The Department is working across Whitehall and with industry to secure export-led investment as the sector makes the transition to zero-emission vehicles, including new electric vehicle models, along with battery gigafactories and the electric vehicle supply chain. We have a dedicated export support system throughout the UK in the shape of our international trade advisers, ensuring that the automotive industry is the country’s biggest single exporter of goods, exporting nearly 80% of vehicle production—about 6% of the UK’s total exported goods.

    Rachel Hopkins

    If we are to continue to drive British automotive exports, it is critical that automotive businesses such as Vauxhall in Luton can make the transition to manufacturing electric vehicles effectively. The rules of origin from 2024 onwards highlight the need to attract the wider electrified supply chain to the UK as soon as possible. How is the Minister working with the automotive sector to expand our domestic electric vehicle supply chain—especially in respect of batteries—to avoid any future tariffs when rules of origin come into effect?

    Ms Ghani

    The hon. Lady will hopefully find some comfort in the fact that I have many meetings with the Society of Motor Manufacturers and Traders and have met the automotive sector multiple times to deal with this issue. We are very much aware of the rules-of-origin issue, which is why we are investing so much in batteries. In particular, the Faraday battery challenge is a £541 million project to help us to develop new battery technologies. I have mentioned already that I was in Cape Town to deal with the diversification of access to critical minerals in supply chains to ensure that we can process them and manufacture here.

    Mr Richard Bacon (South Norfolk) (Con)

    Would the Minister like to congratulate Group Lotus in my constituency, which exports more than 70% of its car production? Would she like to take the opportunity to come to Hethel to see the new Lotus Evija supercar, which can do nought to 180 mph in nine seconds?

    Ms Ghani

    I am not sure that I can speak as far as that car goes, but I am more than happy to come to Hethel to visit Group Lotus. The amount of progress that has been made by experts, academics and scientists when it comes not only to zero emission vehicles but to speed is remarkable.

  • Giles Watling – 2023 Parliamentary Question on a Trade Envoy for the Commonwealth

    Giles Watling – 2023 Parliamentary Question on a Trade Envoy for the Commonwealth

    The parliamentary question asked by Giles Watling, the Conservative MP for Clacton, in the House of Commons on 9 February 2023.

    Giles Watling (Clacton) (Con)

    What assessment she has made of the potential merits of establishing a trade envoy for the Commonwealth.

    The Minister of State, Department for Business and Trade (Nigel Huddleston)

    The countries of the Commonwealth are important trading partners. Our total trading relationship was worth more than £146 billion in the 12 months to September 2022, which is why my right hon. Friend the Prime Minister has already appointed trade envoys to 15 Commonwealth nations. We have trade agreements with 33 Commonwealth members, and five of the 11 members of the comprehensive and progressive agreement for trans-Pacific partnership are in the Commonwealth as well.

    Giles Watling

    As chairman of the 1922 committee’s Back-Bench foreign affairs policy committee, I recently shared our report with ministerial colleagues. One of its recommendations was the creation of a Commonwealth-specific trade envoy post. Does my hon. Friend agree that in this post-Brexit era, increasing trade and movement between the Commonwealth and the UK should be a top priority to foster economic growth? By the way, this is not a pitch for that job.

    Nigel Huddleston

    Yes, I am afraid that those jobs are at the discretion of the Prime Minister.

    I hear what my hon. Friend is saying. We already have extensive coverage through the existing network, but we review the network regularly because we are committed to working with our allies in the Commonwealth to remove the barriers to trade and strengthen trading relationships to foster economic growth. Growing exports to Commonwealth countries is a priority, and trade increased by 25% in the year to September 2022. As for movement, we have a new global immigration system which is vital in supporting trade and economic growth, and the movement of business people on a temporary basis promotes and supports trade in services and goods and investment activities. Recognition of professional qualifications and business travel are always an important part of our trade deals.