Labour criticised for arms trade stalls

Labour conference organisers have been criticised for accepting thousands of pounds from arms manufacturers, cigarette producers and companies that develop GM foods.

The party has allowed multinational firms including BAE Systems, one of the world's biggest arms producers, to pay thousands of pounds to exhibit at Blackpool.

BAE sold a £28m air control system to Tanzania, one of the world's poorest countries, with backing from the UK government. The deal was condemned by the World Bank as a waste of money for a country with eight military aircraft.

BAE, which describes itself as a "global systems company", also sold a controversial order of Hawk attack aircraft to Indonesia as "trainer jets".

It has a stall promoting itself which Labour delegates, MPs, ministers, party executives and MEPs can visit.

The party has also been given money by tobacco producers to allow them to exhibit in the conference centre. Nestlé, a baby milk manufacturer which is still the target of consumer boycotts in 20 countries due to its past practice of marketing breast milk substitutes in the developing world, has also paid for a stand.

Friends of the Earth attacked Labour yesterday for accepting cash from "multinational companies which are involved in some of the most socially and environmentally destructive and controversial projects across the world". The Labour Party, which made a £9m loss last year, depends on commercial backing for about a sixth of its income.

Aventis, a leading GM food company trying to license GM oilseed rape and fodder maize seeds in the UK, is sponsoring a Fabian fringe meeting on reforming the NHS. It was criticised by ministers when seed used in farm trials was found to be contaminated with other varieties that cannot be legally planted in Britain.