5. Statement by the Minister for International Relations and Welsh Language: Update on Trade Policy

Part of the debate – in the Senedd at 6:02 pm on 7 January 2020.

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Photo of Baroness Mair Eluned Morgan Baroness Mair Eluned Morgan Labour 6:02, 7 January 2020

First of all, of course we're interested in promoting trade. It's just that we're doing this at a really difficult time. The World Trade Organisation is currently in a situation where the United States have stopped appointing judges, so that anything that comes out of the World Trade Organisation now can only go so far in terms of the legal process, and people could potentially ignore what they are suggesting and challenge that, and that could take years to go through the system. So, at a time when our fallback position is to rely on the World Trade Organisation, this is not the time to be doing that.

In relation to trade, of course what we've emphasised is devolution is where we absolutely must have a say, where we have those powers. And you must remember that we went into the EU at a time when devolution didn't exist; we're coming out to a very different world, where those powers reside here. And it's great that the UK Government have recognised that and they are anxious to engage and involve us, because they know that, ultimately, we're the people who have to make that happen on the ground. So it's not in their interests either to sign up to trade deals that would be difficult to implement on the ground. So, we're giving them the benefit of the doubt, we want to engage; at the moment, they're not quite engaging in the way we'd like them to.

In terms of the United States, I'm absolutely clear that it's one of the biggest investors in Wales. As you say, you've emphasised the number of companies that have housed themselves here in Wales. It's one of our biggest export markets. All of that is being done without a trade agreement, don't forget. So, the point is, you don't always need a trade agreement to be in place in order to trade. And I do think, at this point in time, when we're kind of over a barrel in terms of the deadline we've set ourselves for the EU of a year, we've got a Trump presidency that is saying, 'Put America first', that's quite a difficult place to put yourself in—you're not holding many cards in that kind of situation. But let's hope for the best, and let's see what the UK Government can come up with.

I think Britain has a really proud record in terms of animal welfare. Certainly, when it came to the transport of live animals, the UK Government was really influential in terms of cutting down significantly the number of hours that animals were allowed to be transported within the EU.

In terms of the Commonwealth, this is something that many people say: 'Why don't we go back to the old days of the Commonwealth?' If you look at the amount of trade that we do with Australia, with India, with Canada, all of that put together doesn't amount to the amount of trade that we do with Ireland. So, you know, I think that we have just got to make sure that we get some perspective on where our nearest trade partners are, and trade gravity really plays an important role here.