§ 22. Major-General Sir ALFRED KNOXasked the Secretary of State for Dominion Affairs whether, in view of the large export subsidy on Irish Free State butter, he will consider the desirability of increasing the British duty, in order to recover more quickly the money due from the Irish Free State?
Mr. J. H. THOMASI can assure my hon. and gallant Friend that all relevant considerations, including that to which he refers in his question, have been, and will be constantly borne in mind.
§ Sir A. KNOXIs the right hon. Gentleman satisfied with the attempts at recovering the money due from the Irish Free State; and, if he raised the duty, would he not get the money more rapidly or, alternatively, bring matters to a head?
Mr. THOMASThis is not a matter that can be answered by question and answer across the Floor. There are many factors in this consideration. The British Government do not want to be, and will never be, accused of themselves deliberately doing anything that aggravates the difficulties.
§ Mr. MAXTONIs the Minister not now satisfied, after raising the duty on Irish goods twice and still failing to receive the money, that it is time he was trying some more sensible method of dealing with this Dominion?
§ Mr. MAXTONDoes the right hon. Gentleman not remember that I told him at the beginning that it would be a failure?
§ Mr. KIRKWOODIs the right hon. Gentleman not aware of the fact that there will be nearly 200,000 tons less coal exported from Scotland to Ireland as a result of his quarrel?
§ Mr. SPEAKERWe are talking about butter, not coal.
§ 50. Brigadier-General CLIFTON BROWNasked the Financial Secretary to the Treasury whether he is aware that the evasion of the duty on thousands of cattle, which are driven over the Irish Free State border into Northern Ireland and shipped to this country from northern ports, is increasing and that the Treasury is losing much revenue thereby; and whether any and, if so, what steps have been taken by the customs to stop this smuggling?
§ The FINANCIAL SECRETARY to the TREASURY (Mr. Hore-Belisha)I am aware that attempts are made to smuggle cattle over the land boundary into Northern Ireland. The question of the protection of the revenue on the land boundary is constantly under review and such steps as are necessary for that purpose are taken from time to time. It is not in the public interest to disclose what action is taken to prevent smuggling.
§ Sir JOSEPH LAMBAre the interests of British cattle owners in this country also being considered?
§ Mr. HORE-BELISHACertainly. I think my answer indicated that.
§ 52. Mr. RONALD ROSSasked the Financial Secretary to the Treasury whether the ad valorem duty on Free State butter is reckoned on its price in the Irish Free State or its price in the United Kingdom; and what is the difference in shillings per hundredweight between these two methods of reckoning at present values?
§ Mr. HORE-BELISHAAd valorem duties are by statute based on the c.i.f. price at the place of importation into this country, and not upon the price in the country of origin. I understand that the wholesale price ruling in the Free State for creamery butter is about 79s. higher than the c.i.f. price at the place of importation here.
§ Mr. ROSSIf there were an alteration in the system of levying the duty, would not that be greatly to the benefit of the Treasury in the way of getting the sum of money in regard to which the Irish Free State has defaulted?
§ Mr. HORE-BELISHAOn the purely administrative point my hon. Friend is aware that the import price is always the basis for valuation, because we have re- 920 course against the importer and not against the exporter. That is a purely administrative point.
§ Lieut.-Colonel ACLAND-TROYTEWould it not be wise to raise these duties and get some more money?