§ 23. Brigadier-General NATIONasked the President of the Board of Trade whether he is aware that, whereas British goods imported into France are subject to an exchange compensation Surtax of 15 per cent, and an import turnover tax of 6 per cent., those imported from Germany into that country are not subject to the exchange compensation Surtax; and if he will make further representations to the French Government in the matter?
§ 27. Sir JOHN WARDLAW-MILNEasked the President of the Board of Trade whether he is yet in receipt of any reply from the French Government in regard to the discriminatory Surtax of 15 per cent. upon British imports into that country; and, if not, what action the Government proposes to take in the matter?
§ The PRESIDENT of the BOARD of TRADE (Mr. Runciman)I would refer to the answer which I gave on the 30th March to the hon. Member for South Croydon (Mr. H. Williams). No reply has yet been received from the French Government.
§ Sir J. WARDLAW-MILNEIs it not the case that this Surtax is not aimed at us, though it is very adverse to this country, and is it not time that the Government took some direct action in the matter, as other countries are doing?
§ Mr. RUNCIMANYes, the ostensible object of the tax is not aimed at this country. We have already taken the question up with the French Government, and have had interviews both in London and Paris on the subject quite recently.
§ Sir J. WARDLAW-MILNEIs it not the case that other countries which are suffering in this way are taking more direct action than this country? They are, in fact, threatening retaliation, and why should we not do so?
§ Mr. RUNCIMANInformation with regard to other countries is not the subject of the first question.
§ Mr. CAPORNMay we take it that the Government will do all that they can in this matter?
§ Mr. RUNCIMANYes, Sir.
§ 28. Sir J. WARDLAW-MILNEasked the President of the Board of Trade whether he is aware that the French Government have recently extended the quota system to cover the importation of needles from this country into France, and that the restriction is damaging the trade and manufacture of these needles in this country; and what action he is taking in connection with this matter?
§ Mr. RUNCIMANThe quota system has not been extended to cover needles on importation into France; imports of needles are however being restricted to the quantities imported in 1932 as a temporary measure, in order to prevent forestalling, pending the passage of legislation increasing the duty. I am afraid I can see no ground for protesting against the action of the French Government.
§ Sir J. WARDLAW-MILNEIs this not, again, a case in which the action which the French Government wish to take is against imports from Germany and yet it is this country which is suffering as a result of these temporary restrictive measures; and cannot the right hon. Gentleman take action to bring this matter to the notice of the French Government?
§ Mr. RUNCIMANThe French Government are taking, I understand, in this matter, exactly the same action as we should take in regard to Budget duties.