§ 35. Mr. Burkeasked the President of the Board of Trade what steps he proposes to take with regard to the recent serious increase in the importations of Japan cotton cloth to this country which is exported, after being finished here, as cloth of United Kingdom origin?
§ Mr. RuncimanAs I have previously explained, the nationality to be attributed to goods imported into other countries is determined by the regulations of the importing country and not by United Kingdom regulations. As regards Empire countries, cotton and rayon tissues must have been spun, woven and finished in the United Kingdom in order to obtain admission as United Kingdom goods into most of the Colonies. In the Dominions generally and India there are regulations laying down the amount of Empire labour and materials required before goods can secure admission at the preferential rates of duties accorded to British goods. In the case of Australia, the minimum percentage of United Kingdom content was increased for cotton piece goods in the summer of 1936; the question of increasing the content requirements in Canada and in the Union of South Africa is under examination. As regards foreign countries, where a reserved share of the market is in some way guaranteed to United Kingdom goods, His Majesty's Government endeavour to ensure that the benefit should only accrue to textiles spun, woven and finished in the United Kingdom. Such requirements are in operation in Denmark, Latvia, Lithuania and Uruguay; the possibility of enforcing similar requirements in Argentina is under discussion with the Argentine Government at present.
§ Mr. BurkeIs the Minister aware that, in spite of what has been done, in the course of the last few years the amount of such cloth has risen from nil to nearly 20,000,000 square yards, and that this is causing very great anxiety among the cloth manufacturers of Lancashire?
§ Mr. RuncimanI am afraid the figures that have been quoted by the hon. Member are more or less correct. There is undoubtedly an enormous increase, and we are watching the matter with very great attention.
§ Mr. HoldsworthIs the right hon. Gentleman aware that there is great dissatisfaction throughout the whole of the textile industry regarding this sort of thing, and will he consider amending the provisions of the Merchandise Marks Act, or something of that description, in order to prevent this sort of thing being done?
§ Mr. E. SmithIs the right hon. Gentleman aware of the accusation that is being made that materials manufactured in other countries are shown at the British Industries Fair as manufactured in this country, and if so, what steps is he taking to deal with it?