6. What discussions is the Welsh Government having with Welsh businesses regarding the future trade relations of the UK? OQ55381

Well, I'm really aware of the extremely challenging situation that many businesses in Wales are facing, especially as a result of COVID and Brexit, so I've formed a trade policy advisory group to help me determine the key trade challenges facing Wales. And this includes working with a number of representative bodies and holding sector meetings with businesses.

Thank you, Minister. With the uncertainty surrounding UK trade, it's vital that businesses in Wales have strong voices championing them. Companies such as Tiny Rebel Brewery, in my constituency, have done a fantastic job in expanding the Welsh brand globally, with beers such as Cwtch and Clwb Tropica being sold around the world. With the added economic uncertainty because of COVID-19, we can't afford for Welsh businesses to face added pressures of increased tariffs. Throughout this time, businesses are adapting to circumstances. What support can the Welsh Government give to those businesses who have had existing networks of trade with other countries? And how can you support and encourage businesses who are looking to export products for the first time, to ensure Welsh companies continue to flourish in these most difficult of times? 

Thank you very much. And you're absolutely right: Tiny Rebel has been a great example of a company in Wales that has spread out overseas and is really flying the flag for our country abroad. Of course, a lot of the trade exports have been massively impacted by coronavirus. One of the things that we're doing now to address this issue is that we're having a complete refresh of our export strategy. So, that's hopefully going to be announced in the beginning of September. We're having consultations with business sectors at the moment just to make sure that we are testing out our ideas in that space. Certainly, we have a team of trade advisers in the Welsh Government who are there to lend a hand to people who are already exporting or those who would like to export. And, of course, we're trying to work also with the UK Government to use the networks that they also have in place. So, we're confident that we're starting to put the right things in place for once we're in a more settled situation, but obviously this is a very, very difficult time for exporters.

I was very pleased to hear your response there in respect of the way that the Welsh Government is working positively and constructively with the UK Government in order to deliver the benefits that trade deals can amass to the Welsh economy. Clearly, there is work going on at pace with the EU, the US, the Japanese and many other Governments around the world, and I wonder to what extent the Welsh Government has the capacity to be able to contribute to all of those discussions at present. I appreciate we're in unusual circumstances and that people have to prioritise budgets, but I am keen to make sure that Wales has the strongest possible voice in those discussions. So, can you tell us, in terms of the capacity of your department, are you confident that it is sufficient to be able to make meaningful contributions to those wider discussions?

Well, because this is a whole new area—not just of course for the Welsh Government, but for the UK Government as well—we have massively increased, as has the UK Government, the number of people involved in this space in terms of trade, to make sure that, as you suggest, our voice is heard loud and clear. Not so much with the EU negotiations, where the approach and the discussions have been pretty random in terms of how we're able to contribute there, but I've got to say that when we're talking about the rest of the world, those negotiations and those discussions with the UK Government and our opportunity to feed into the negotiations has been a really constructive relationship. We've not only fed in, but we've actually seen the results of us feeding in, and so I think we've got to pay respect to the UK Government in this space, and I'm really pleased to see that that is happening. We hope, of course, to continue in that vein. We're waiting still, of course, for the concordat to be signed so that we'll have that on a formal basis, but to be fair to the UK Government, they're acting at the moment as if the concordat were in place. That is a formal structure for negotiation. And they also are having a refresh of their export strategy, so we are keeping an eye on that to make sure that whatever we do dovetails in with what they're doing as well.

Minister, I appreciate the comments you're making regarding the concordat being effectively in place because of individuals' positions, but surely it's important that we need that concordat signed.

I have deep concerns over some of these agreements. For example, in the Japanese-UK discussions, the Japanese have already indicated that they want a six-week completion date. That puts a lot of pressure upon the process, and how can we be assured that the Welsh voice and the interest of Welsh citizens, in such a short timescale, are being delivered and met? And are you, therefore, in the room when discussions have been taking place? Do they report back to you? How can we have that assurance, and how can we scrutinise that deal?

Well, just to be clear that we're not just starting the negotiations here. We have been discussing with the UK Government since February and March, feeding into what we think those negotiating mandates should look like, and I'm glad to say that we've actually had an influence there. So, the text has been amended, for example, in relation to the Japanese text, to make sure that there's a reaffirmation of those commitments to the UN framework convention on climate change and the Paris agreement. That wasn't there before; it's there now because we pushed that. So, we've already had an impact, I think, in terms of the negotiating mandate.

We are intensely aware of the very short time frame in which we are working. The Japanese Parliament—the National Diet—needs that to be in place by the end of September. So, they've made it clear they want an agreement, really, by the end of July. So, those negotiations are happening at pace. We get a briefing before the negotiations start, and in fact we're having a briefing with Greg Hands, the Minister, tomorrow, and we get an update after the negotiations happen. So, that is a rhythm that we are very comfortable with.

Finally, question 7, Siân Gwenllian.