A new direction for the UK's trade policy will be unveiled by the Government today with an expected attack on European and US trade tariffs.

Trade and Industry Secretary Patricia Hewitt will argue that subsidies and tariffs were bad for business as well as developing nations and the global economy.

She will publish a white paper, Making Globalisation a Force for Good, billed as an attempt to boost Britain's reputation as a free trading nation.

But the minister risked a fresh row with trade unions by backing moving by British firms to send work to overseas countries such as India.

Ms Hewitt will argue that outsourcing offered British firms the chance to become more efficient as well as help the economies of developing countries.

The white paper will call for further reforms of Europe's Common Agricultural Policy.

Andrew Pendleton, Christian Aid's senior trade policy officer, said:

"The White Paper makes it clear that the Government is still addicted to liberalisation as a cure for all ills.

"There is nice new language, such as recognition of supply-side constraints, strong condemnation of Northern protectionism and double standards, but no new thinking. This is not a radical new agenda to make trade work for development, but a free trade agenda with add-ons.

"The other big gap is the lack of concrete proposals. The paper claims to show how the UK government can help to ensure globalisation is a force for good. In reality there are precious few concrete suggestions as to what the UK government will do."

Tuesday July 06, 2004