29. Duchess of ATHOLLasked the. President of the Board of Trade if he is aware that large quantities of French wheat flour and of German oatmeal, rolled oats, and pearl barley are being imported into this country at very low prices under the export bond system, to 1231 the detriment of British millers and farmers; and what action the Government propose to take in the matter?
§ Lieut.-Colonel J. COLVILLE (Secretary, Overseas Trade Department)With regard to the first part of the question, no system comparable to the export bond system is at present in operation in France so far as I am aware. As regards the German system, it is maintained by the German Government that the modifications introduced in March last have removed the element of export subsidy. The situation is being watched.
Duchess of ATHOLLDoes not the hon. Gentleman remember that only a month or two ago, in reply to a question, it was admitted that there must be Government co-operation in this system, and I ask, therefore, if the exports to our country are not in fact State-aided.
§ Lieut.-Colonel COLVILLEActually there is encouragement of exports only in so far as imports of the same products take the place of the exports, because the export permit has no value except to secure the free entry of the products in respect of which they are issued.
Duchess of ATHOLLIs it not a fact that, although Government co-operation is admitted in the answer I received, these commodities are being sold in this country very much below the price at which they can be remuneratively sold here and, I believe, below the price at which they are sold in the country of origin.
§ Lieut.-Colonel COLVILLEThe statistics do not disclose the enormous decrease in price that the Noble Lady suggests, but the situation is being watched for that purpose.