HC Deb 14 May 1912 vol 38 cc942-3
Mr. HUNT

asked the Under-Secretary of State for India whether, in view of the fact that the Phœnix Bridge Company of America has had its contract accepted for the Jumna Bridge on the Oudh State Railway in India, at a price 26 per cent, lower than any tender from Great Britain, he can say whether the American company were subsidised or assisted by the United States Steel Corporation?

Mr. MONTAGU

I have no information.

Mr. HUNT

Are we to understand that foreigners can subsidise their manufacturers against British and Irish manufacturers for contracts with the Indian Empire, and have the Government taken any steps to prevent that most unfair competition with British and Irish firms?

Mr. MONTAGU

Our principle in allotting those contracts is to obtain for the Indian taxpayers suitable goods in the cheapest market, and the only clause of the contract we enforce is that as to fair wages.

Mr. HUNT

Are we to understand that the Government take no notice of foreign firms being subsidised and so having an unfair advantage over British firms?

Mr. MONTAGU

I have said that I have no information on the subject.

Mr. ASHLEY

Supposing this subsidy has been given, will the right hon. Gentleman in future not give contracts to such firms?

Mr. MONTAGU

I think that all that is necessary is to ensure that the Indian taxpayer, who must be our first concern in the matter, gets goods suitable for his purpose as cheaply as possible, consistent with the payment of fair wages.

Mr. WATT

Is it not the case, if this bridge was subsidised in America, that the subsidy passed into the hands of the Indian taxpayer?

Mr. KING

And was not the subsidy raised from the American taxpayer for the benefit of the Indian taxpayer?