IRON AND STEEL INDUSTRY.

HC Deb 16 February 1937 vol 320 cc975-7

16. Mr. Louis Smith

asked the President of the Board of Trade whether he is aware that a large rivet works at Sunderland has recently been closed down in consequence of the large importation into this country of rivets at prices which cannot economically be equalled in Great Britain under the present policy regarding steel; and whether he will request the Iron and Steel Federation to make arrangements with shipbuilders which will encourage a wider use of British rivets or take other steps to remedy the present difficulties facing the British rivet industry?

Dr. Burgin

I am aware that a rivet works at Sunderland has recently been closed down. As regards the last part of the question, it is open to the British Iron and Steel Federation to negotiate with the shipbuilders, and they will doubtless do so if they consider that any useful purpose will be served.

Mr. Smith

While thanking the hon. Member for the reply, may I ask whether he will do anything to influence the federation to give the same sort of terms to the rivet industry, seeing that so large a proportion of ship-plates are of British make?

Sir Percy Harris

Will the Parliamentary Secretary inquire into the working of the international cartel to see how far it is preventing our own industries being kept open by its operation?

Dr. Burgin

I have not the slightest reason for imagining that the operations of the iron and steel cartel have anything like the effect which the hon. Baronet supposes.

Miss Wilkinson

May I ask whether, in the near future, we shall have a report on the iron and steel trade from the committee which may throw some light on the matter?

Mr. Speaker

That is far beyond the question on the Order Paper.

18. Sir P. Harris

asked the President of the Board of Trade whether, in view of the decision to establish steelworks at Scunthorpe and the evidence existing that demand for British steel far exceeds supply, he will recognise the complementary and equally strong claim put forward in support of the steelworks scheme for Jarrow, and take steps to prevent the British Iron and Steel Federation using their powers against the establishment of competitive supplies in Great Britain?

Dr. Burgin

As I said in reply to the hon. Members for Gateshead (Mr. Magnay) and for the Clayton Division (Mr. Jagger) on 3rd February, the Import Duties Advisory Committee are satisfied that the scheme in the Scunthorpe area is in the national interest and will not preclude consideration of suitable schemes for other areas.

Sir P. Harris

Does the hon. Member realise that there is a serious shortage of constructional steel and that big building schemes are being held up by the want of the necessary steel? Is he also aware that prices are rapidly rising in this particular industry? Will he, therefore, see that something is done to break up the international cartel, or that the opening up of new steel works is facilitated?

Miss Ward

Will the Parliamentary Secretary consider setting out a concise statement of what exactly the position is in this matter?

Dr. Burgin

I am sure that by question and answer it is not possible to give the concise statement which the hon. Member desires. I am perfectly aware of the position in the iron and steel industry, and the answer to the question which the hon. Member asked as to Scunthorpe is that that particular scheme is in the national interest. There is no reason why a particular scheme being in the national interest any other scheme which is in the national interest should not receive consideration on its merits.

Miss Wilkinson

In view of the fact that the syndicate which is backing the Jarrow scheme is still prepared to go on with the matter provided they are guaranteed against discrimination by the iron and steel trade am I to understand that the Government now will be prepared to give further consideration to that scheme if it is put before them?

Dr. Burgin

The claims of Jarrow are not in any sense being overlooked, but I should not like the hon. Member to assume that the answer to her question is in the affirmative in regard to the particular scheme to which she refers. There is no reason why a proposal dealing with the steel industry in Jarrow should not receive consideration on its merits.