Zinc

HC Deb 23 October 1950 vol 478 cc2469-71

26 and 27. Mr. John Grimston

asked the Minister of Supply (1) if, in view of his decision to reduce the rate of delivery of zinc to British consumers to approximately 75 per cent. of their 1950 intake, he will immediately take the steps necessary to return the buying of this metal to private hands;

(2) if he will allow private consumers to buy zinc in dollar or soft currency countries and import it to supplement supplies from his Department.

Mr. G. R. Strauss

Owing to the limited amount of zinc that can be obtained in world markets at present, central purchase by my Department ensures that available supplies are distributed fairly in the national interest and that prices are not increased as a result of competitive buying by private consumers. If the hon. Member has any knowledge about additional sources of supply of zinc, I shall be glad if he will inform me.

Mr. Grimston

How does the Minister expect British industry to function when one month he says he has ample supplies of zinc and the following month he cuts consumers by 25 per cent? Why does he allow the import of manufactured zinc at fancy prices and not allow the raw zinc to be brought here and manufactured much more cheaply?

Mr. Strauss

The supplies of zinc which normally we get from Europe suddenly and unexpectedly dried up and we found ourselves at a certain stage without the zinc we required. Secondary zinc can be imported from non-dollar countries privately, but I understand that there is none available and, therefore, there is no likelihood of getting any such supplies into this country.

Mr. Grimston

I did not refer to secondary zinc but to manufactured zinc. The Minister allowed manufactured zinc to be imported but not unmanufactured zinc. Surely it is wrong to pay a manufacturing cost abroad when we can perfectly well manufacture the zinc in this country?

Mr. Strauss

I do not think so. It would depend, of course, on the type of manufactured zinc the hon. Member is talking about, but the shortage which has developed in raw zinc—in virgin zinc—would certainly not be improved in any way if private traders entered the market.

Colonel Crosthwaite-Eyre

When the Minister says there is only a limited amount of zinc, does he mean the price the Ministry is prepared to pay or what is available in the world markets? Further, does he really mean, in relation to the known rise in the cost of all these raw materials, that the Ministry is willing to pay the increased price in relation to other raw materials?

Mr. Strauss

No, the zinc is simply not available. It is not on sale anywhere.