SAFEGUARDING OF INDUSTRIES (Hansard, 10 March 1925)

§ 17. Lieut.-Commander KENWORTHY
asked the President of the Board of Trade how many of the 7,927 consignments sampled by the Customs and analysed by the Government chemist under Part I of the Safeguarding of Industries Act, 1921, during the year ended 31st March, 1924, were found to be liable and how many not liable to duty under this Act?

The FINANCIAL SECRETARY to the TREASURY (Mr. Guinness)
I have been asked to reply to this question. The information asked for is not available, and I regret that I am unable to authorise the expenditure of the considerable time and labour which would be involved in its preparation.

§ Lieut.-Commander KENWORTHY
Is the right hon. Gentleman aware that considerable time and expenditure are involved on the part of the unfortunate merchants who have to wait for consignments of goods before getting on with their business?

Mr. GUINNESS
It is very necessary to take these samples, so that the deterrent effect may induce people to make accurate returns.

§ 21. Major CRAWFURD
asked the President of the Board of Trade how many, and which, of the 2,000 and more chemicals scheduled as liable to duty under Part I of the Safeguarding of Industries Act, 1921, which were not being made in this country at the time the Act came into operation are now being produced here in satisfactory quality and adequate quantity?

§ Sir P. CUNLIFFE-LISTER
It is not possible to furnish precise details of the kind asked for by the hon. and gallant Member. I am, however, informed that one company alone is manufacturing over 1,000 of the listed products which it was not manufacturing in 1921, and that the manufacture of some hundreds of products has been commenced by other makers since the passing of the Act.

§ Major CRAWFURD
Does the right hon. Gentleman's answer include the qualifications which I put at the end of the question as to satisfactory quality and adequate quantity?

§ Sir P. CUNLIFFE-LISTER
Yes: I have every reason to believe that the quality is steadily improving. Practically no complaints about quality are being received. The manufacture is going on in steadily increasing quantities.

Captain BENN
Would the right hon. Gentleman lay on the Table the evidence to which he has referred?

§ Mr. SPENCER
is there any truth in the statement that these dyes are being made for turning yellow into blue and transferring from this side of the House to the other?

§ Sir P. CUNLIFFE-LISTER
The hon. Gentleman is late on the Order Paper. This question relates to chemicals other than dyes. I think it is generally acknowledged throughout the industry that a great advance is being made in this trade.

Captain BENN
But the right hon. Gentleman is not in a position to give any actual data?

§ Sir P. CUNLIFFE-LISTER
I have given a great deal of actual data.

§ 22. Major CRAWFURD
asked the President of the Board of Trade if he is aware that phenacetin, phenagene, and many other chemicals scheduled as liable to duty in Part I of the Safeguarding of Industries Act, 1921, are still not manufactured in this country; and if he will at once order the removal of such articles from the dutiable list in order to lessen the cost to hospitals and similar institutions where they are so largely used?

§ Sir P. CUNLIFFE-LISTER
I shall have to give an answer to the revised question on another occasion. The answer I am giving now refers to phenagene. Phenagene does not appear in the list of goods dutiable under Part I of the Safeguarding of Industries Act. As regards phenacetin, I am aware that the manufacture in this country is at present sus- 1102 pended. The number of listed products produced in the United Kingdom is steadily increasing, and I am, consequently, not prepared to introduce the legislation which would be necessary to remove articles from the dutiable list.

§ 24. Mr. LEES SMITH
asked the President of the Board of Trade whether it will be an instruction to each Committee appointed under the safeguarding scheme to take into consideration the effect of its decision on the ultimate consumer, or whether the question of consideration or not of the consumers' interests will be left to the discretion of each Committee?

§ Sir P. CUNLIFFE-LISTER
The scope of the reference to the Committee appointed in respect of any application is clearly indicated in the White Paper. As the hon. Member is aware, all duties recommended by a Committee, and approved by the Government, will be submitted to the House of Commons in a Finance Bill.

Mr. SMITH
Will the right hon. Gentleman answer the question: Have the Committees power to investigate this very important question or not?

§ Sir P. CUNLIFFE-LISTER
I have given an answer to that question in the second part of my reply. The Committees are to report on the facts referred to in the White Paper and then this House will give its decision on the facts. The House has already pronounced in favour of the general policy and its particular application in each case will again come before Parliament.

§ Mr. A. V. ALEXANDER
Have the Board of Trade yet appointed a Chairman for the Central Committees?

§ Mr. SPEAKER
That does not arise' out of the question.

§ Mr. DALTON
Are we to understand from the right hon. Gentleman's answer that the Committees are not to take into account at all the interests of the consumer?

§ Sir P. CUNLIFFE-LISTER
The hon. Member is to understand precisely what is in the answer.

Mr. SMITH
As the White Paper to which the right hon. Gentleman refers does not instruct the Committees to take 1103 the consumers' interests into account, does not his answer mean that the Committees are not to do so?

§ Sir P. CUNLIFFE-LISTER
My answer means that the Committees are not to go over a roving inquiry, but are to report on the specific facts referred to them.

8. Captain BENN
(for Mr. T. THOMSON) asked the President of the Board of Trade whether he will make it a condition, under the Safeguarding of Industries proposals, that no industry shall be entitled to the protection of a tariff which supplies goods for export at a lower price than it supplies the same goods under similar conditions for the home market?

§ Sir P. CUNLIFFE-LISTER
As the hon. Member will notice from the White Paper, the comparison which the Committee, to whom any application is referred, will be asked to make, will be between the prices at which foreign goods are being sold, or offered for sale, in the United Kingdom, and the prices at which corresponding goods can be profitably manufactured or produced in this country. Whether the question raised by the hon. Member could arise in connection with the price at which goods can be profitably manufactured in this country, it would be for the Committee, who have to take all relevant circumstances into account, to decide.

Captain BENN
Is the right hon. Gentleman giving any safeguard against protective duties being used to benefit the foreign consumer and exploit the home consumer

§ Sir P. CUNLIFFE-LISTER
What the hon. and gallant Gentleman is suggesting is that no facilities should be afforded to a firm or to a trade which is doing its best, in difficult circumstances, to maintain its foreign trade.

Captain BENN
Would the right hon. Gentleman kindly answer the question? Is it intended to give any safeguard against firms using the duty for the purpose of benefiting the foreign consumer at the expense of the home consumer?

§ Sir P. CUNLIFFE-LISTER
I gave the supplementary reply which I gave after consideration, and I repeat it.