Select Committee on Foreign Affairs Minutes of Evidence


Examination of Witnesses (Questions 100 - 119)

WEDNESDAY 12 JANUARY 2005

12 JANUARY 2005  RT HON JACK STRAW MP, MR EDWARD OAKDEN CMG AND DR DAVID LANDSMAN

  Q100  Mr O'Neill: Sometimes we have to qualify what your undertakings actually mean.

  Mr Straw: There is no more assiduous select committee than this one, in my view, and you have got the cream of four other select committees!

  Q101  Mr O'Neill: In your response to our last report, you said that providing more information on end use would be an unjustifiable diversion of limited resources. Is it only possible to extract this information from databases manually? One would have thought with the amount of money that the Government spends on software that there might have been something within the system which could be incorporated to avoid the use of manual extraction, not least at a time when you are trying to achieve staff cuts.

  Dr Landsman: It is the case that with the present software it is simply impossible to extract this information automatically and it would have to be done manually with, we believe, a disproportionate amount of effort. Clearly when the next generation of software is introduced, this is something that we will be aiming to take account of. I think it would be difficult to justify replacing the software early purely for that particular purpose, but it is obviously something we will take fully into account.

  Q102  Mr O'Neill: When do you anticipate changing the software?

  Dr Landsman: Those decisions have not yet been taken. Work is progressing on the next generation of software. Dates for implementation of the project will depend in part on decisions which are taken about the future restructuring of the Export Control Organisation in DTI.

  Q103  Mr O'Neill: And could you give us an assurance that the kind of software that would be required to end the manual extraction will be given consideration as far as the incorporation is concerned, even if as yet you have not really scoped the exercise?

  Dr Landsman: Officials will certainly take into account all of these aspects and obviously Ministers will need to decide what is done.

  Q104  Mr O'Neill: And you will let us know in due course?[2]

  Dr Landsman: Sure.

  Q105  Chairman: End use is important. Indeed arguably end use is all that matters when it comes to arms export controls. We have really got to know where the stuff is going, so there is a degree of urgency about having as much information in the public domain as possible about end use. My question, Foreign Secretary, is about the Freedom of Information Act. Do you expect that to influence what you publish in future?

  Mr Straw: No, because I doubt it and I cannot anticipate decisions under that Act and you are aware of how it works. If you are not, as the author of the Act, I am very happy to provide you with an extensive seminar.

  Q106  Chairman: Thank you. I look forward to it!

  Mr Straw: The Act makes clear that information which is due to be published in any event cannot have early or advance publication, so I am quite clear that were it not for this very open system that we have at the moment, we would be expected under the Act to publish the kind of information we publish in the quarterly reports, but since it is published in the quarterly reports, I am quite clear that we would be justified in refusing any prior application which obviously would just be chaotic and could serve no particular purpose. In terms of more detailed information, well, it may be that there will be individuals who will seek further information about individual licence applications and their consideration. The final decision on those would be subject to the tribunal and then to other provisions in the Act, but when the Act was drafted, a number of clear exemptions were introduced and agreed by Parliament. Some of them were absolute exemptions about the security service for the Royal Family and others, which you are about to talk about, were qualified ones where there is a public interest harm test, but those are issues of commercial confidentiality, general confidentiality and international relations. My own view is that I am certain we have one of the most, if not the most, transparent systems in the world, number one, and, number two, to go further than this would be to compromise, to damage the necessary commercial interests or commercial confidentiality of the industry and this is an important industry which sustains a large number of jobs and we all around this table have a responsibility to ensure that it continues and that is why there is an export control system, not an export prohibition system.

  Q107  Mr Bercow: Foreign Secretary, during the British Presidency of the European Union, can you tell the Committee, because we have had quite a lot of evidence on this subject and other aspects of the strategic export control system, what you judge to be the priorities? If you look at strengthening the legal control of arms exports, tackling arms brokering and trafficking and building capacity to address the availability and the misuse of weapons within Africa and you have got six months, you have got to prioritise.

  Mr Straw: There is completing what the Luxembourg Presidency have on the agenda and a lot of the agenda for any Presidency is completing work already in hand and it may be that the Luxembourg Presidency, which has already started, is able to complete the review of the Code of Conduct which has arisen in the context of the decision made in December 2003 to review the China arms embargo. A number of Member States, of which the UK has been in the lead, have used that decision to look again at the China arms embargo to seek to upgrade the way in which the Code of Conduct operates, and that is obviously very important. There is a user's guide on Criterion 8 of the Code of Conduct and this has prompted some Member States and the UK industry and NGOs to call for guides to other criteria, and we are happy to consider that. There is the issue of the candidate countries and also the new Member countries, the ten, where although, by definition, the ten have to sign up to these criteria, the standard of enforcement and transparency may in practice be less than in the former 15 existing Member States, so there is that. Then there is the whole issue of building up a consensus for the International Arms Trade Treaty which I personally am very committed to and that will be an international arms trade treaty and, as I spelled out in my Party's conference, is there to build on the work of the EU Code of Conduct in which we played a leading role when Robin Cook was in my seat seven years ago, so it is part of a wide agenda.

  Q108  Mr Bercow: There is the issue of quality and enforcement, but equally importantly there is the issue, is there not, Foreign Secretary, of the extent of the provisions? What I would like to try to tease out of you, if I may, is the question of whether and, if so, to what extent you regard it as incumbent upon the British Government to look at how other Member States of the EU are behaving possibly within the terms of the Code of Conduct, but in a way which is, nevertheless, damaging? For example, if memory serves me, and I am sure you will correct me if I am wrong, there is an arms embargo within the EU on the export of weapons to Burma, but there is suspicion, and I put it no more strongly than that, that that embargo is currently being circumvented by Germany via the Ukraine. It is marvellous to have a Code of Conduct and it may have real merit and a great deal of attention may be paid to enforcing it, monitoring it and seeing if it needs to be updated in line with the concerns of the NGOs as well as of the industry, but what about things which perhaps do not fall within its purview at all, but the effects of which are very damaging?

  Mr Straw: Comparative testing is very important in all areas of government, but particularly here where, Mr Bercow, you are right to imply that having the Common Criteria in plain text is one thing, but having common enforcement of those criteria is a separate thing, and the first is a necessary, but by no means an efficient, part of the second. The advice I have received is that on the whole other countries are assiduous in their application of the Criteria, but there is a difference which is about transparency, and this has arisen acutely in respect of the China arms embargo and has wider application. That is that we share information where one or other of us is refusing a licence, so if I get an application, and you will be familiar with the arms system, and I decide that that application should be refused, that information is then pooled on a confidential basis inside the EU and I think I am right in saying that if one has notice of denial by another country, which sometimes happens, and I then decide nonetheless to agree an export, we pool that information as well, I think. That circumstance is the only one in which at the moment there is effective pooling of information about positive decisions to license rather than negative decisions to refuse licences. Now, the number of licences granted greatly exceeds the number refused because obviously in each country the industry has a pretty clear idea of what the market will bear. We do publish details of all the applications approved, though we do not formally give it to the EU, but it is on the public record, whereas some other countries do not, so it is for that reason that I have been very committed to having a fully transparent system both of refusals and of positive decisions on licences. On the end user point, I have seen no information whatever suggesting that Germany has licensed arms to the Ukraine which have then been shipped to Burma. I have to say that the German Foreign Minister, Joschka Fischer, has been very supportive and was very supportive of extending the sanctions, the common measures against the Burmese regime given their failure to meet the undertakings which they had made in April or around April of last year to release Aung San Suu Kyi and to allow the NLD to participate in the national convention, but we are always happy to follow these up.

  Mr Oakden: Perhaps I can just add two points. Firstly, we are looking for greater information-sharing and the fact is that because we have got a more extensive network around the world, we sometimes get more information and there is potential for us to share that more with other Member States. The other is a slightly different area which is what happens when a country comes out of sanctions and one wants to avoid a situation where you go from very tight control under an embargo to any sort of lurch, so we are negotiating in the EU a so-called `toolbox' which would essentially set in hand this series of procedures which would involve both consultation and three-monthly mutual notification about export procedures and what each country has done over the previous three months.

  Q109  Tony Baldry: Apart from the EU, the G8 and the Prime Minister's Commission for Africa, a lot of NGOs and a lot of us know that the scourge of Africa is the AK-47 and I just wondered what the FCO was doing in the context of the Commission for Africa on tackling and brokering and the presumption of denial. What is your input to the Commission for Africa and conflict prevention?

  Mr Straw: The key thing I think for controlling small arms is an arms trade treaty because you have got to deal with a few countries in Africa who manufacture weapons. South Africa does and maybe other countries do and will certainly maintain them, but the main manufacturers are outside sub-Saharan Africa, so simply getting the African countries on board will not resolve the problem and we have to have an international arms trade treaty. We will be using the Commission for Africa, however, as a forum in order to build up support for this Arms Trade Treaty which will certainly include small arms, but will have to include other arms as well. You are right, Mr Baldry, to say that the scourge of Africa is the AK-47, but it is the landmine, it is rocket-propelled grenades and all of the other terrible relatively small arms which wreak such havoc and destruction on the continent.

  Q110  Donald Anderson: Foreign Secretary, a number of the countries which joined the European Union on day one are traditional arms exporters, such as the Czech Republic.

  Mr Straw: Sure.

  Q111  Donald Anderson: Are you satisfied that the administrative procedures are sufficient in those countries, and of course there are coming in two or three years' time Bulgaria and Romania? At what time will the export control on arms kick in in respect of those countries?

  Mr Straw: On the satisfaction about the new ten, I am able to give you a detailed answer. Am I personally satisfied? I am not sure is the answer. What is the case is that each of those countries had to meet criteria, very, very detailed criteria in 32 separate sections or chapters of the EU acquis and it was that that the European Commission were measuring when they were determining whether or not each candidate country had met a sufficient standard in order to be recommended for membership of the EU. The process is a very, very rigorous one. The Czech Republic has, to give you my impression, quite a good level of public administration, I think, of the EU ten and I have seen no reports of their system failing, but I also would accept that it is probably the case that for all the new ten, it will take some time for their systems to be quite up to the level of the previous existing 15. As for the new candidates, the two new ones coming forward, Bulgaria and Romania, we have now agreed a date and in the period between now and accession, they have to show that they are implementing all the standards that they have agreed in those 32 chapters. I think formally the system only kicks in on the day of accession, but there is a glide path and this issue arose quite acutely in respect of Romania, not Bulgaria, when there was some discussion in the margins of the meetings before the last European Council as to whether or not, because there were concerns about the level of public administration in Romania, the corruption and so on, we should not give a differential date or impose differential conditions in respect of Romania compared to Bulgaria. We decided not to and the reassurance there is that it is open to the European Commission at any stage before the date of accession to say, "This applicant nation is not meeting its trajectory on the glide path and, therefore, we should delay further the date of accession".

  Q112  Mr Colman: During the G8 Presidency, you mentioned that in a sense you are following previous initiatives. Can I ask you about the Kananaskis Ten Plus Ten Plus Ten and will you intend to push this forward, particularly in terms of a further parliamentary assembly, and there was one held in December 2003 at which I represented this Select Committee and the idea was in fact that after the European Parliament had reconvened, as it were, after the elections, in our Presidency we would move forward significantly on that arms control initiative. Can I ask, Foreign Secretary, what is proposed?

  Dr Landsman: Mr Chairman, Mr Colman is referring to the so-called `G8 Global Partnership' for addressing the threats from the weapons of mass destruction from existing stocks primarily, but not exclusively, in the former Soviet Union. We certainly intend to take forward that initiative during our G8 Presidency and we have plans for two specific initiatives, one to address implementation of existing projects to ensure that any obstacles there are addressed and removed and the projects move forward, and we also intend to promote a threat-based assessment of priorities, as it were, for the next generation of projects under the G8 Global Partnership. As far as to the parliamentary conference, I am afraid we will have to revert to you with some more thoughts on that in due course.[3]


  Q113  Mr Bercow: Very briefly on the subject of the EU's WMD Action Plan, how do you intend to take that forward, not least with regard to the results of the peer review of dual-use export control systems?

  Dr Landsman: Specifically on that issue of the Action Plan, that exercise feeds into ongoing work in the EU on implementation of the Code of Conduct of the export controls and we will want to do some more work on ensuring that the Code of Conduct is being implemented as part of the work which we will oversee during our EU Presidency.

  Q114  Mr Evans: Foreign Secretary, on the arms embargo on China, France and Germany are very keen to get it lifted and your opposite number in the Netherlands, Bernard Bot, said he hoped that it would be lifted this year. What is your view?

  Mr Straw: When this issue first arose in the EU European Council Summit on the 18th December 2003, I, because I happened to be there in our seat at the time, supported the proposal from President Chirac and Chancellor Shroeder that we should review the EU China arms embargo because, on the face of it, it had run its course. First of all, it was imposed in the light of the specific circumstances following Tiananmen Square and, secondly, at the time of its imposition, there was no EU Code of Conduct, so you either had an embargo across the EU or you had nothing consistent across the EU. Now, the human rights situation in China has eased, though I am not pretending it is fully acceptable and it is not as we spell out in our Human Rights Report, but it is certainly significantly better than it was 15 or 16 years ago. Secondly, there is now the EU Code of Conduct and what has been interesting in terms of the work that has been done both in the UK and across the EU is that it transpires that most of the applications for arms exports to China which have been refused in recent years have been refused under the EU Code of Conduct and not under the embargo which is narrow in its scope and, moreover, most of the refusals under the embargo would have fallen to be refused under the Code of Conduct in any event. As far as the latter is concerned, I think I am right in saying that for the UK there were only two refusals under the embargo, and those were not particularly significant, which would not have been refused under the Code of Conduct, so that is the background to this. What the Council decided this December, just three and a half weeks ago, and we supported this language both by definition, but also because we did, was this: "In this context, the UK Council reaffirmed the political will to continue to work towards lifting the arms embargo. It invited the ex-Presidency to finalise the work . . . in order to allow for such a decision. It underlined that the result of any decision should not be an increase of arms exports from the EU Member States to China neither in quantitative nor qualitative terms and in this regard the European Council recalled the importance of the criteria of the Code of Conduct on arms exports, particularly in relation to human rights, stability and security in the region and the national security of family and allied countries". That is where we are and, as I have always intimated, we are currently working on the revised Code of Conduct and the new instrument on measures related to what is called `the toolbox'.

  Q115  Mr Evans: So now that we have got the Presidency of the European Union, are you actively promoting the lifting of the arms embargo?

  Mr Straw: Our decision in principle is that subject to satisfaction on the issues laid out by the European Council in December, we called, also, for a lifting of the arms embargo and that has always been the case and that was why, for the reasons I have intimated, we supported the original reconsideration of it. Indeed if it is lifted, we will end up with as effective arms control in respect of China in practice as we have now, but they will be ones which will apply to every other country, apart from one or two, like Burma, and also we will have a strengthened system across the EU. I have to say that I have long understood China's argument which is that to lump them in with, say, Burma and Zimbabwe is not appropriate and I do not think it is.

  Q116  Mr Evans: Is there a likely timescale on this?

  Mr Straw: I am a betting man on big races, but I do not bet on these things, not least because it would be viewed as insider information, but I think you would get relatively short odds on the decision happening over the Luxembourg Presidency. In other words, it is more likely than not that this will be decided under this Presidency.

  Q117  Mr Evans: The final point then on this is that clearly you have got a very close working relationship with the United States of America. They are not keen on the lifting of the arms embargo along with one or two other countries, so what are you going to do to pacify them that the options that you are announcing today that you argue in order to see this lifted this year will satisfy them?

  Mr Straw: The United States have an entirely legitimate and understandable interest both in the effectiveness of the European Union's system of arms control and in issues of regional stability in that area and it needs to be borne in mind that we often think of the United States as an Atlantic power, but it is also very much a Pacific power and China and Taiwan and other countries are across a pond, albeit quite a large pond. So there have been intensive discussions with the United States because it is a point I have often made in the room in talking on this issue in the European Foreign Ministers' meetings and in the European Councils that we have to do our very best to provide reassurance to the United States. They are our closest ally and it would be ludicrous to turn this into an issue of aggravation between these two allies, so a lot of effort is going into that. Part of the difficulty has been, frankly, a lack of information and an understanding in Washington and elsewhere about how our system works, so, for example, there was a report by a congressional committee, I think, last May about the UK system which was critical and based on a number of clear misunderstandings about the nature of our system. Our embassy weighed in and provided a point-by-point rebuttal of the system. I have on many, many occasions pointed out, number one, that the EU arms embargo itself has no legal force, that it is an agreement. People may say, "What about the Code of Conduct?" The Code of Conduct is backed by our law and the laws of other countries, so it has a different level of legal application. Also, and this is a critical point, what is not realised in the US, and why should it be until we explain it, is this central issue which is that since the embargo was imposed, you now have the EU Code of Conduct, the interpretation in most countries of the embargo, including the UK, has been a narrow one, that most of the decisions to refuse arms licensing to China have in any event been made under the Code and, as I said, most of the decisions which have been made to refuse under the embargo would have been made under the Code anyway and we also then take through our United States interlocutors a criterion in the Code relating to human rights, relating to regional security and so on.

  Q118  Mr Evans: So you hope to satisfy the United States, but if at the end they still are not satisfied and they are still pressurising you to keep the arms embargo there, you will carry on with your policy?

  Mr Straw: It does not work that way. In the United States there are many issues where the United States Government makes a decision which we would not necessarily have taken ourselves because our political and economic circumstances are different. The same applies in respect of decisions made by European countries, including the UK. The crucial issue is not to say to the US, "Are you going to vote for this?" anymore than they ask us to vote for some of the decisions they have made; it is to say to them, our very close allies, "We hope that we have provided you with both an explanation and a reassurance of why we are supporting this decision and why, in our judgment, there is good evidence that it will not do the thing which you fear it might".

  Q119  Mr Davies: Foreign Secretary, are you saying that the American attitude towards the EU giving up its arms embargo on China is based either on a misconception, a misunderstanding because the Americans wrongly believe it will have some actual concrete and specific impact on the flow of arms exports, whereas you are saying it will not, or that it is based on a worry about the psychological effect of this embargo being abolished at this particular time and that will be seen as a very favourable gesture to the regime in Beijing?

  Mr Straw: Well, it is based on both and obviously different people within the Administration and Congress have different opinions about it.


2   Ev 85 Back

3   Ev 88 Back


 
previous page contents next page

House of Commons home page Parliament home page House of Lords home page search page enquiries index

© Parliamentary copyright 2005
Prepared 24 March 2005