Part of Export Control Bill – in a Public Bill Committee at 11:00 am on 18 October 2001.
Vincent Cable
Shadow Spokesperson (Trade and Industry), Liberal Democrat Spokesperson (Trade and Industry)
11:00,
18 October 2001
Much of the argument rests on whether the American system, which applies to about half of all arms exports and overseas production, is better than our own. Perhaps the Minister can explain something. The Government have examined the American model for overseas production and, for whatever reason, have found it lacking. Many of us are trying to respond to constituents' letters on the issue, and there have been exchanges with the Campaign Against Arms Trade. The Minister has helpfully written to me about how he wants to deal with them. He says that the CAAT briefing document contains a number of misleading statements. I am not sure what is misleading and what is wrong. Rather than continuing with an opaque exchange of letters, perhaps the Minister can explain what he thinks is misleading and what is wrong with the argument that has been advanced.
My second question tracks our discussion about end use. Would it be worth the Government's putting a bit of extra effort into ensuring that their regulations were enforced? I am suggesting not that there should be an overbearing bureaucracy, but that the Government should have the powers to check matters. Overseas production is difficult to monitor. I am not arguing that companies that might be innocently involved in the misuse of overseas production should be dragged through the courts in an expensive and elaborate process. All that is required is that the Government have the power to terminate a contract where abuse occurs. The Minister seems satisfied that he can pick up anything inadvertently as a result of knowing something about a company's past records. We are suggesting a mechanism whereby, if something goes wrong—possibly quite innocently—the Government have the power to step in and to stop the licence proceeding any further, after having checked that there is a diversion of use within an overseas production facility. It is difficult to understand why the Government should not want those powers. What is it that the Minister regards as deficient in the American system and on which issue does he want to correct the campaigners?
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