Oral Answers to Questions

Greg Hands Excerpts

Thursday 19th November 2020 Commons Chamber

[Mrs Flick Drummond (Meon Valley) (Con)]

What steps the Government are taking to maintain food and farming standards in future trade agreements.

[The Minister for Trade Policy (Greg Hands)]

The Government are firmly committed to our manifesto pledges to uphold our high environmental, food safety, and animal welfare standards. Under the European Union (Withdrawal) Act 2018, our current standards are taken into UK law, and the Secretary of State has now placed the Trade and Agriculture Commission on a statutory footing.

[James Grundy]

Does my right hon. Friend agree that the Government’s actions in strengthening the Trade and Agriculture Commission firmly dismiss the rumours that UK food standards would be compromised as a result of Brexit?

[Greg Hands]

My hon. Friend is absolutely right. Placing the Trade and Agriculture Commission on a statutory footing will ensure that public and industry interests are advanced and protected in Britain’s agriculture and trade policy. As the National Farmers’ Union said:

“This significant commitment to primary legislation on food standards, both in the Agriculture Bill and the Trade Bill, is exactly what we have been calling for.”

[Anthony Browne]

The farmers of South Cambridgeshire are some of the most efficient and environmentally friendly in the country, but they have concerns that they might be undermined in any trade deal by imports that are produced to lower animal welfare or environmental standards. They strongly welcome the Government’s decision to put the Trade and Agriculture Commission on a statutory footing—a move also welcomed by farming and environmental groups across the country. Will my right hon. Friend tell the House what role the commission will play during trade negotiations, to ensure that standards are maintained?

[Greg Hands]

I thank my hon. Friend for that question. He is a reliable supporter of farmers in his constituency. The Agri-food trade and agriculture group will feed in during the negotiations. He also asked about the TAC, and I wish to use this occasion to praise its chairman, Tim Smith, for the excellent work that he has done so far, and in very good time.

[Damian Hinds]

Colleagues across the House welcome the news about the Trade and Agriculture Commission’s statutory footing. It will be a strong voice for our farmers, and it will also provide expert independent advice for this House as we consider the impact of each trade deal on agriculture. When does the Minister expect those amendments to be tabled, and for the Trade Bill to resume its progress?

[Greg Hands]

We plan to table that amendment to the Trade Bill on Report in the House of Lords. The scheduling of business is obviously a matter for business managers, but we intend the Bill to be completed by the end of the transition period.

[Duncan Baker]

I represent a rural constituency, North Norfolk, where farming is the lifeblood for so many. My farmers are delighted about the Trade and Agriculture Commission’s statutory footing, and that move has also been applauded by the National Farmers Union. Will the Minister reassure my constituents that the commission will protect animal welfare and farming standards, and help to allow the farming sector to assess the deals that come forward for that important sector?

[Greg Hands]

I know from my right hon. Friend the Secretary of State how important farming is in Norfolk, in both her constituency and that of my hon. Friend. Farming has a strong voice on the Trade and Agriculture Commission, and the NFU, NFU Scotland, NFU Cymru, the Farmers Union of Wales, and the Ulster Farmers Union are on it. It puts UK farming at the heart of our trade agenda, and allows the sector to help advise on our future trade deals.

[Virginia Crosbie]

I thank the Minister for his answer. The extension of the Trade and Agriculture Commission has been incredibly welcomed by farmers across Ynys Môn, and it shows this Government’s commitment to upholding our high food standards. What feedback has the Minister received from Welsh farmers regarding that move?

[Greg Hands]

My hon. Friend is a strong and passionate voice for Ynys Môn farmers, and the feedback has been extremely positive. Putting the Trade and Agriculture Commission on a statutory footing has been welcomed by NFU Cymru. Indeed, its president, John Davies, said that this

“is a milestone moment and one that should be welcomed by all those who care about our food, environment and high standards of production.”

[Robbie Moore]

Latest figures show that the UK’s agrifood sector is now worth £122 billion to the UK’s economy, and there is plenty of room for growth. As we set out into the world as an independent global trading nation, will my right hon. Friend confirm that, even though we have the weight of the Trade and Agriculture Commission in place, UK agriculture will be at the forefront of his mind as we go forward in future trade negotiations?

[Greg Hands]

My hon. Friend is absolutely right, and—crucially—we would never want UK agriculture to be sidelined from our trade agenda. We need and have UK agriculture fully on board, to take advantage of selling our fantastic British food and drink produce to foreign markets. Already, for the first time in many years, we are selling beef to the US, pork to Taiwan, and we have secured better agrifood protection in our recent UK-Japan trade deal.

[Mrs Drummond]

According to blind tasting, French champagne has nothing on sparkling wine from the south downs. Hambledon, Wickham, and Exton Park are vineyards that produce brilliant wine in the Meon Valley, and we have some of the best produce in the UK. Will our free trade agreement support that burgeoning industry?

[Greg Hands]

I look forward to tasting some of this Meon Valley wine, although I have to say that 9.39 in the morning might feel a little early. Our commitment to promoting British wines is very strong. Among the potential 70 geographical indicators in the UK-Japan comprehensive economic partnership agreement deal are: English wine, English regional wine, Welsh wine and Welsh regional wine. We are in regular contact with WineGB and the Wine and Spirit Trade Association to help to promote this vital industry.

[Stewart Hosie (Dundee East) (SNP)]

After listening to these Whips’ questions, I think I would like some English wine as well, Mr Speaker.

I had a long and detailed discussion with NFU Scotland on Monday. In its words, it is “really worried” about future trade deals. Fundamentally, the UK is a high cost, high food standard regime. It argues that it simply cannot compete with low-cost competition with lower food standards elsewhere. Is it not now time for the Government to change tack, and include chapters on food, animal welfare and standards in trade agreements?

[Greg Hands]

I studied very carefully the hon. Gentleman’s amendment during the passage of the Trade Bill. In many ways, he had an even more extreme amendment than the Labour party in terms of trying to dictate our trade partners’ domestic production standards. That would have killed off a huge amount of our trade with the developing world. He mentions NFU Scotland. I thought I would go directly to the source. I am reading here from The Scottish Farmer, which I recommend he reads. NFU Scotland president, Andrew McCornick, said in The Scottish Farmer only last week, on putting the TAC on a statutory footing:

“This is a huge step forward.”

[Stewart Hosie]

Putting an organisation on a statutory footing is one thing, but protecting food standards is something different. I think the Minister’s answer is what Americans call doubling down on a previous mistake. Let me give an example. UK egg producers simply cannot compete with imported eggs produced where the density of laying hens may be twice that permitted in the United Kingdom. The only way they could do that would be to massively lower food production and animal welfare standards, something we know from the recent Which? survey the public are implacably opposed to. Is it really the Government’s intention to be on the wrong side of food standards, the wrong side of animal welfare, the wrong side of the farming industry and the wrong side of public opinion?

[Greg Hands]

I thank the hon. Gentleman for that question. He mentions the Which? survey. I was delighted to be the guest speaker at the launch of the Which? survey, “The National Trade Conversation”, where we discussed many of these aspects. To be absolutely clear to him again, our commitment that there will be no lowering of standards on animal welfare, food safety and the environment is absolute. I urge him again to get with the trade agenda and listen to NFU Scotland, which says it will

“strive to ensure that the best interests of farming, food and the drink and the public continue to be front and centre of any trade deals.”

That is exactly the right approach being taken by NFU Scotland. I urge him and the SNP to get on board with that positive approach for the first time, please.

[Bill Esterson (Sefton Central) (Lab)]

The Government say that they want to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, but some of its members allow growth hormones, genetically modified food in animal foodstuffs and insanitary conditions for animals. The CPTPP is already in operation, of course, and trade is permitted between its members on the basis of lower animal welfare and food production standards. How does the Minister plan to renegotiate the CPTPP to exclude the lower animal welfare and food production standards it contains, given that existing members of CPTPP say that they will not allow new members to change the agreement?

[Greg Hands]

The Secretary of State and I have told the hon. Gentleman time and again at the Dispatch Box that nothing in any trade agreement prevents this country from carrying out its own domestic regulation. We have been absolutely clear that a lot of the production methods and food standards he describes will remain illegal in this country after 1 January. He mentions CPTPP. I urge him to get on board with a positive agenda. Joining CPTPP, a trading group of 11 countries, including Canada, Singapore and Japan, will be a fantastic opportunity. I am not expecting him to support it, because of course he never supported trade deals with those countries in the first place, but I might hope he could reconsider now.

[Mr Speaker]

Let us head to the Chair of the International Trade Committee up in Scotland, Angus Brendan MacNeil.

[Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP) [V]]

A very good morning to you, Mr Speaker, on the day you have been waiting for: the day of the first report on the UK-Japan comprehensive economic partnership agreement from my Committee. I am sure that you are looking forward to reading it. Indeed, we are hoping to have a debate in your Chamber, Sir, before the end of the Constitutional Reform and Governance Act process—just to let you know.

On food and farm standards, yesterday we heard from Tony Abbott, the former Australian Prime Minister and now adviser to the Board of Trade, who said that when he had an important deal to do with China, he took the state premiers of Australia with him. I wonder whether the Ministers at the Department for International Trade will consider doing the same for important trade agreements, taking the Welsh Minister, Jeremy Miles, the Northern Irish Minister, Diane Dodds, and the high-flying Scottish Minister, Ivan McKee, who might indeed be leader of the Scottish National party and First Minister one day. We need that to happen given that the UK Government are ready to burn particular sheep farming in Wales and Scotland by being outside the 45% tariffs. It is not just our standards, but the standards of our neighbours that are really going to matter for farming.

[Greg Hands]

I thank the Chairman of the Select Committee for that, and I look forward to reading his report. When it comes to the devolved Administrations, we all need to respect the devolution settlement, which is that trade policy is a reserved matter and the UK Government carry out their negotiations on behalf of the whole United Kingdom. It is also right, however, that we consult the devolved Administrations, which is why, since May, when I took over the role of interaction with the devolved Administrations in this Department, I have had six meetings with Minister Ivan McKee. We have the quarterly ministerial forum for trade. I have already described how NFU Scotland, two farming unions of Wales and the Ulster Farmers Union are on the Trade and Agriculture Commission. We also make sure that our trade advisory groups include representatives from the devolved Administrations. Our commitment is clear to negotiating the best possible deals for the whole United Kingdom, while making sure that voices from Scotland and the other devolved Administrations are very much included.

[Antony Higginbotham (Burnley) (Con)]

What steps her Department has taken to ensure that small and medium-sized enterprises in the north-west of England can benefit from the UK-Japan comprehensive economic partnership agreement.

--- Later in debate ---

[Christine Jardine (Edinburgh West) (LD)]

What assessment she made of the potential effect of the free trade agreement with Japan on the UK’s progress on meeting its climate change commitments.

[The Minister for Trade Policy (Greg Hands)]

The UK-Japan agreement locks in the benefits of the EU-Japan deal, including provisions on climate change such as those that reaffirm our respective commitments to the UN framework convention on climate change and the Paris agreement; those that promote trade in low-carbon goods and services; and those that support co-operation on trade and climate.

[Christine Jardine [V]]

Although I am disappointed with some aspects of the Japan trade agreement, such as the provisions on data, I am heartened that there is no investor-state dispute settlement clause in the new UK-Japan FTA, as ISDS has been used by large corporations to sue Governments over environmental regulations on issues such as water pollution, deforestation and fracking. Will the Minister confirm that, to protect our natural environment, the UK will not seek such an arrangement with either Japan or any other new trading partners after Brexit?

[Greg Hands]

I thank the hon. Lady for that question. I ought to add first of all that we really welcomed the announcement that Japan made on Monday, in advance of COP26, that it will be seeking to become carbon neutral by 2050. On her question about ISDS, I will be frank. This country is already party to ISDS with dozens of agreements, but let us recognise that the UK has never lost a case brought against it in ISDS. It is something that is there as much to protect British businesses trading abroad as it is for foreign investors in this country, so her alarmism about ISDS is misplaced.

[Fay Jones (Brecon and Radnorshire) (Con)]

What steps her Department has taken to ensure that (a) farmers and (b) food producers in Wales can benefit from the UK-Japan comprehensive economic partnership agreement.

[The Minister for Trade Policy (Greg Hands)]

The UK-Japan CEPA will benefit farmers and food producers in Wales through lower tariffs than would have been the case without an agreement. It also allows more UK goods to access preferential tariffs than under the EU-Japan agreement, thanks to new rules of origin. New protections for more iconic Welsh food products may also be possible, including for Welsh lamb and coracle-caught sewin.

[Fay Jones]

Twelve Welsh geographic indicator products have been protected in the UK-Japan deal on which I warmly congratulate the Department. I am particularly pleased to hear the Minister mention Welsh lamb. Can he reassure me that those products will be respected and protected in future trade deals, particularly with the US and Australia?

[Greg Hands]

My hon. Friend is absolutely right. There is the potential inclusion of around 70 geographic indicators, 12 of which are from Wales—she is quite right—including Welsh beef, Welsh lamb, Welsh wine, cider, perry, Caerphilly cheese, Carmarthen ham and others. One of our key objectives is to be able to sell Welsh lamb into the United States—British lamb overall is not currently allowed into the United States—but we will be fighting to get an improvement in Welsh lamb exports around the globe.

[Lloyd Russell-Moyle (Brighton, Kemptown) (Lab/Co-op)]

What recent progress she has made in securing the rollover of EU trade agreements with non-EU countries.

--- Later in debate ---

[Cat Smith (Lancaster and Fleetwood) (Lab)]

What recent discussions she has had with UK trade partners on including provisions on human rights in future trade deals.

[The Minister for Trade Policy (Greg Hands)]

This Government have a strong history of promoting our values globally, including human rights. While our approach to agreements will vary between partners, our strong economic relationships allow us to have open discussions on a range of issues, including on human rights. We will not compromise our high standards in trade agreements.

[Cat Smith]

In September, the UN said that the Saudi airstrikes in Yemen had led to

“a consistent pattern of harms to civilians”

unlike our own Government who said in July that there was no such pattern and therefore it was lawful to resume arms exports. Can the Minister tell me how his Government have looked at the same evidence as the UN and arrived at such vastly different conclusions?

[Greg Hands]

May I remind the hon. Lady, as the Secretary of State said earlier in response to a question from the right hon. Member for Islington South and Finsbury (Emily Thornberry), that the UK has one of the most rigorous arms control regimes in the world? We follow the consolidated criteria at all times. On trade agreements, I ask her to judge us on our deeds and not always on our words. In terms of the trade agreements that we have rolled over, there has been no diminution of human rights clauses in any of those agreements.

[Joanna Cherry (Edinburgh South West) (SNP)]

What steps she is taking to simplify the process of (a) exporting and (b) transporting UK goods around the world.

--- Later in debate ---

[Bambos Charalambous (Enfield, Southgate) (Lab)]

Can the Minister tell us how many trade agreements due to take effect on 1 January 2021 contain explicit human rights clauses?

[The Minister for Trade Policy (Greg Hands)]

I can tell the hon. Gentleman that there is no change in the effect of the existing EU trade deals when it comes to human rights and the role there of the UK agreements. I would urge him to look at those agreements and study the reports that have been produced comparing the agreements with the original.

[James Sunderland (Bracknell) (Con)]

  May I simply ask my right hon. Friend for reassurance that our overseas territories will be fully factored into all future trade deals and continuity agreements?

[Greg Hands]

I thank my hon. Friend for that question. In fact, I am meeting the overseas territories on this very subject next week. You in particular, Mr Speaker, will be impressed by the Secretary of State meeting Fabian Picardo, the Chief Minister of Gibraltar, only last month on this. Getting our overseas territories participating in the UK independent trade agenda is very important. We recognise fully the constitutional responsibilities we have for the OTs and we work closely with them to ensure that their interests are represented.

[Chris Bryant (Rhondda) (Lab)]

  The average sheep pregnancy lasts 152 days, so tupping for next spring’s flocks in Wales has already happened in the autumn. The Minister referred earlier to Welsh lamb being protected in Japan, but 50% of Welsh lamb goes to the European Union, so the big issue is knowing what will happen on 1 January for Welsh lamb. I do not want to have a go at the Government, but I do just want them to get a deal so that Welsh lamb will not be priced out of its single biggest market across the whole of the European Union.

--- Later in debate ---

[Andrea Jenkyns (Morley and Outwood) (Con) [V]]

Businesses in Morley and Outwood are keen to reap the rewards of our independent policy once we end the transition period. What is my right hon. Friend’s assessment of the new regional comprehensive economic partnership, and how are the Government planning to extend Britain’s influence in this specific region for the benefit of all small and medium-sized enterprises around the country?

[Greg Hands]

We follow RCEP quite closely, but we are looking forward to making our application to join the comprehensive and progressive agreement for trans-Pacific partnership, or TPP-11, trading group in the new year. This is an excellent trading group. Its 11 countries are a mix of like-minded western trading nations such as Japan, Australia, New Zealand and Canada, as well as more developing nations such as Vietnam and Peru. There are great opportunities for all of us, including my hon. Friend’s Morley and Outwood businesses.

[Kerry McCarthy (Bristol East) (Lab) [V]]

There are reports that the Government plan to remove anti-dumping duties on imported bicycles at the end of transition, leading to a flood of cheap imports from China, which would be devastating for UK bike manufacturers. Can the Minister tell me what proportion of the domestic market consists of bikes made in the UK and confirm that if it is more than 1%, anti-dumping duties should remain?