Select Committee on Economic Affairs Minutes of Evidence


Examination of Witnesses (Questions 300 - 305)

TUESDAY 24 OCTOBER 2006

DR KIM HOWELLS MP, MR STEPHEN PATTISON, MR CHRISTOPHER YVON, MR PAUL BENTALL AND MR PATRICK GUTHRIE

  Q300  Lord Oakeshott of Seagrove Bay: Do you think they have a realistic hope of succeeding in Zimbabwe?

  Dr Howells: One of the problems with the imposition of any sanctions is that you have to have regional neighbours who are prepared to ...

  Q301  Lord Oakeshott of Seagrove Bay: We can all see that South Africa worked. That is why I am asking the question. You are very good at restating my question. I would like some answers.

  Dr Howells: That is my answer. I do not think they can be successful if the neighbouring countries are determined to break them.

  Q302  Lord Oakeshott of Seagrove Bay: So why not face up to it and face facts?

  Dr Howells: And do what?

  Q303  Lord Oakeshott of Seagrove Bay: Do not go down a route like that, which has no prospect of success. It was quite clear when Tony Blair was laughed at at that conference a few years ago that there was no regional support. So you face facts and cut your losses.

  Dr Howells: When you say face facts, I think that there is always a case for trying to persuade South Africa and other countries to change their own position on this. I do not think their foreign policy is any more writ in stone than anybody else's. I may be an optimist but I think you have to keep making the case, otherwise what is it? It is surrender to a tyrant like Mugabe.

  Q304  Lord Sheppard of Didgemere: We mentioned earlier on, in response to a question, the fact that before imposing sanctions you should attempt to measure the likely impact and so on. Presumably, that applies after the sanctions are commenced and right the way through the period, so one knows whether to discontinue them, and even after the event. For any future policy you have to apply criteria to decide whether or not sanctions have done anything, who has suffered, whether it is the regime or the people- some of the questions we have asked.

  Dr Howells: It follows on very much from that question about Zimbabwe now, of course. I think if we look at the Whitehall review which was held in 1998, if you remember, the main conclusions were the need for sanctions to have clear objectives, that they should be targeted to hit the regime rather than the people, that they should include exemptions to minimise humanitarian impact, and that there should be a clear exit strategy. There is a need for effective arrangements for implementation—that is very important—and they should avoid an unnecessary and adverse impact on UK economic interests, which is also extremely important. I would add that we often pursue measures which are calibrated, and the most recent Security Council resolution imposing sanctions concerning North Korea makes it clear that the Council stands ready with a number of responses dependent upon North Korea's behaviour, and that includes strengthening the measures but also modifying them or suspending them or lifting them altogether. So yes, I think we have to be ready to change and modify when events dictate.

  Q305  Lord MacDonald of Tradeston: Minister, the EU has taken measures to counter the extra-territorial application of sanctions by the United States. How is that working out?

  Dr Howells: The EC's regulation 2271/96 of 1996 sent a very important signal to the US that the EC intended to protect its companies from the effects of US extra-territorial legislation. This paved the way for the EU-US understanding which was reached in 1998 that the terms of the Helms-Burton Act, the Cuba sanctions in other words, and the Iran-Libya Sanctions Act would not apply to European companies. Although these agreements are limited in scope to the two Acts that are referred to, we find that the vast majority of other cases can be resolved through co-operation and dialogue with the US authorities. This is conducted in the case of our Government by the DTI with the help of the Foreign and Commonwealth office and especially through our embassy in Washington.

  Chairman: Thank you very much indeed for coming along and giving us such full answers to the questions, which has greatly helped us with our consideration of these very important matters.





 
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