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11.41 am

Sir Irvine Patnick (Sheffield, Hallam): To cover the report on world trade and the environment, together with the Government's response, and to distil it and make it understandable, would demand the services of a contemporary author: John Grisham springs immediately to mind. I approach the subject not only under the Whip's stricture, but suffering from the main handicap--shortage of time. There is also the need to allow others to speak, and to make the subject interesting, compressing my speech into a reasonable time while also expressing my own views.

I pay tribute to the many witnesses who appeared before the Select Committee, and to the people in foreign countries who not only answered searching questions but gave their unsolicited opinions in such a pithy manner.

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I thank all those involved in the Committee's deliberations, including the Chairman, whose views are well documented. He carried out his duty with his normal detached objectivity, and his rod of iron was replaced at times--not frequently enough--with a fleeting look of disapproval which was as effective, if not more so.

I also pay tribute, and express my gratitude, to my hon. Friend the Member for Bromsgrove (Mr. Thomason), who spent so much time on the detail of the Committee. I have admired his knowledge and the way in which he operates for a long time. He mentally kicks me under the table, as it were, to tell me, "This is the way in which we should be going, not the way in which you want to go."

Mr. Tony Banks (Newham, North-West): The hon. Gentleman needs kicking.

Sir Irvine Patnick: The hon. Gentleman is a great artisan of kicking.

I have endeavoured to break my speech into various sections. How, for instance, can Governments create a competitive advantage? During the Committee's visit to Singapore, Thailand and Malaysia, we were informed that some of the actions taken by developed countries were unhelpful to their area. The comment that sticks in my memory concerned hardwoods. The people there asked, in no uncertain manner--the way in which they asked the question, and the expression on their faces, gave it even more weight--why, now that the United Kingdom and parts of Europe had used their hardwoods, we should stop them from changing their economy by cutting down their trees because, by our standards, it was unacceptable. That is a pertinent question.

The removal of subsidies and other protectionist measures detailed in the general agreement on tariffs and trade has an escape clause in article XX(b), which allows countries to opt out of its obligation--or, in a nutshell, provides an exception


When GATT was created, environmental protection was not high on the "things to do" list; nor, indeed, were many countries giving it the consideration that it deserved. Thankfully, countries now do, and the United Kingdom's first-ever audit of the environment--"This Common Inheritance"--and its yearly updates have focused on that important subject. But GATT is not the catch-all that many would have us believe; rather, it is one lever of a wider machinery, including CITES, the Convention on International Trade in Endangered Species--which regulates the wildlife trade--the Montreal protocol, which deals with substances that deplete the ozone layer, the Basle convention, which deals with the management of hazardous waste, and proposals from the European Community. All that information is now freely and readily available, so I need not spell it out in great detail.

Encouraging the spread of clean and efficient technology was one of the key issues during our visit to Singapore, where multinational companies operate to the highest European or United States standards--they do so wherever in the world the companies are situated. I was delighted to discover that. Know-how technology has also been exported, and, indeed, some British companies are developing models of co-operation that are attractive to developing companies overseas. Many of those countries constitute possible substantial markets both now and in the future.

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What those countries need is a good education system which produces a good reservoir of talent--which, in turn, produces good backgrounds in science, mathematics and technology. Many developing countries are not advanced enough in their education and training to take on and develop full industries of their own, acting instead as assembly plants for foreign countries. I pay tribute to British Aerospace, Rolls-Royce, Ford and, indeed, the university of Sheffield, which are prepared to develop and support companies and help them to plan for education and research, providing the expertise that is required. Such work is a valuable export for the United Kingdom, and we are all the beneficiaries.

Economic growth can lead to increased pollution, which is a major concern. We heard from several witnesses about that. One of the things that we noticed on our overseas travels was the fact that some trades created environmental problems. Again, some British-based companies were out there dealing with the problems created by pollution, including British water companies.

In their response, the Government picked up the points that we had made about the removal of trade restrictions and its environmental impact. In 1999, the Government will attempt to address those points in the next round of the World Trade Organisation negotiations, and I welcome that.

Many factors impact on environmental protection, one of which is competitiveness. Many companies in Britain adopt voluntary measures to improve environmental protection. Eco-labelling and purchasing policies both help the environment. If I have discovered anything, it is that it is hard to find eco-labelling when one is out shopping. People are more concerned with price, availability, quality, service and usability than with eco-labelling, and that problem should be addressed. It can place foreign manufacturers at an economic crossroads, and put the environment at a disadvantage.

Countries that do not help to protect the environment can certainly produce cheaper goods, but at the expense of the environment, and they may help to create more eco-dumping and pollution havens. I know that that concerns the WTO and the World Business Council for Sustainable Development, but I nevertheless agree with the Government and with principle 12 of the Rio declaration. I therefore urge the Government to continue to encourage industry to adopt good environmental management, and to participate in the EC eco-management and auditing scheme. I commend the Government for their clear commitment to that, as outlined in the third competition White Paper. I welcome the agreements on the vital role of the International Standard organisation.

Throughout the world, security and stability enable markets to function smoothly. As we discovered during our visits, supporting business is the largest single activity of our diplomatic posts abroad. I must pay tribute to the dedication, professionalism and commitment of the employees of British firms who were available to discuss their products at trade delegations. I was privileged to meet some of them at an exhibition in Malaysia. They are a credit not only to their companies but to this country, and we should be aware of their efforts on behalf of Britain's exports.

Many people draw attention to traffic congestion in the United Kingdom. They should see the traffic in Bangkok--if they want to see a gridlock, that is the place

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to go. We had a police escort, but it did not help at all. Bangkok insists that it is capable of solving its traffic problems through road pricing and taxation, but I think that this is a case of, "Watch this space."

In an interview, I was once asked what was the most evocative smell that I remembered. I replied that it was that of a joiner's shop. It is possible to--or at least I was able to--differentiate between the smell of oak, pine and other timbers. Like the smell of newly cut grass, such smells stay with one.

In March this year, we visited a major DIY store--B and Q--in Wandsworth. I was impressed by the way in which the store had taken to sourcing its materials, especially timber. It outlined the aims of the Forest Stewardship Council, which sets standards for sustainability. The work done to encourage villagers in some countries to manage and log timber themselves was a most interesting aspect highlighted during our visit.

As ever, when I see timber toilet seats, I recollect being told that the shape of the toilet seat was determined by the shape of the bowler hat of the foreman in charge of the joiner's shop. That was before my time, but the story lingers that the hat determined the inner dimensions of the seat.

To continue my flashback, when I was a building contractor, we used to take out the old high-flush toilets, washbowls and cast-iron baths. On the occasions when we did not take out the bath--it was heavy--we used to panel it in and replace the brass taps with chrome ones. Sometimes we simply replaced the toilet seat with a plastic one and put hardboard flush on beautifully panelled doors. The construction industry has now gone full circle--wooden toilet seats are back, the old-style baths are now worth a fortune and brass taps are being fitted again. The final turn of the wheel means that it is possible to buy a plastic door panelling kit to attach to flush doors and make them look like panelled doors. As they say in the trade, we have seen it all before.

Many factors affect trade and the environment. Some people may disagree with me, but I believe that awareness of the environment is now a fact of life. That is to be welcomed and worked on, and I contend that the Environment Committee's report entitled "World Trade and the Environment", together with the Government's response to it, have moved the debate on. They are documents that future generations will turn to in years to come.


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