1. Will the First Minister make a statement about the value of overseas exports to the Welsh economy? OAQ(5)0280(FM)

Increasing the value of exports and the number of exporters in Wales have both been central pillars of our economic strategy for some time. We know that trade is a key driver of economic growth, which, in turn, boosts incomes.

The Welsh Government is organising a subsidised trade mission to Saudi Arabia in March of next year, and I’m sure I don’t need to remind Members that Saudi Arabia is a place where people are executed for crimes, such as speaking out against the regime. With the help of UK exports, they’re also waging a brutal war against Yemen, which has claimed the lives of thousands, and the blockade of Yemen has caused a humanitarian crisis. Amid all of this brutality, is it appropriate to cosy up to Saudi Arabia? Don’t you think that you should be taking a stand on this question? And given the news today that arms sold to Saudi have ended up in the arms of ISIS fighters, can you reassure us today that this mission has nothing whatsoever to do with the defence or the arms industry?

Well, trade missions are all-encompassing. It’s right to say that we do trade with companies whose values we would not share. There are issues with a number of countries around the world, where we would prefer it if their systems were more open, and their systems were closer to ours. But I believe that, through trading with these countries, it’s possible to show that there is a way of government that is different and, to my mind, better than the ones that exist in their countries. It’s a matter for them, of course, how they govern themselves, but, nevertheless, we are guided by the Foreign and Commonwealth Office as to whether it’s appropriate to have trade links with countries or not.

First Minister, Wales is a small but passionate country that punches above its weight. I note that the value of exports for Wales for the year up to and including June 2016 was £12.1 billion, with exports to the European Union accounting for almost 40 per cent of Welsh exports. The First Minister is a passionate and successful advocate of selling Wales to the world. So, what future plans have the Welsh Government put in place to ensure that Welsh goods and services can continue to be exported to the world?

We’re in the process of planning our overseas activity for 2016-17. That programme will include a balance of traditional markets that we need to maintain, and seeking new markets. And there will be six trade missions that will take place over the next six months.

First Minister, the Welsh business barometer, from the South Wales Chamber of Commerce report, said the number of small and medium-sized enterprises that were reporting a growth in export sales and orders has fallen in the third quarter of 2016. My own postbag is growing with small businesses contacting me concerned about the potential increase in their business rates. Will you consider increasing the funding that you’ve put in place for support with the transition, because, clearly, that would help a lot of small businesses who remain very uncertain about how their business rates are going to be after 2017?

Well, we’ll be able to give full consideration to that issue once we know what the Chancellor has announced in his autumn statement. If he is generous, then so, of course, can we be.

Can I commend the First Minister on his response to the first question today, whilst agreeing with the leader of Plaid Cymru’s strictures upon the activities of the Saudi Government in Yemen? Nevertheless, it is vitally important to Wales that we improve our trade links with Saudi Arabia. It’s a small amount of trade—£240 million in exports last year—but, nevertheless, that’s very important. But trade with the rest of the world, outside the EU, is going to become of growing importance to us as a nation. Rhianon Passmore referred to the fact that 40 per cent of our exports go to the EU; it was 60 per cent 10 years ago—the position vis-à-vis Wales and the rest of the world has reversed. So, will the First Minister agree that it’s vitally important that we have trade missions to the rest of the world, to capitalise upon this growing imbalance?

Well, we do that. I mean, there will be trade missions to the US and to the United Arab Emirates, which is a major export market for us. We must guard against a scenario, however, where we have barriers in place in terms of accessing the European market and the American market. I am totally unconvinced that we will see a free trade deal with the US that will do anything other than benefit the US. That’s exactly what the President-elect, Trump, was elected to do. So, I don’t share the optimism that some have that, somehow, the UK will be in a privileged position with regard to the US. Nevertheless, we continue to run our trade missions to look at our important markets, to conserve those, and also, of course, to look for new ones.

Question 2 [OAQ(5)0273(FM)] was withdrawn.