§ 19. Mr. Edelmanasked the President of the Board of Trade whether his attention has been drawn to the unfair competition from which British machine tool exporters are suffering in the French market, arising from the restricted quota of sterling for imports established by the French Government, which is substantially smaller than the allocation granted to Germany, Switzerland and Belgium, respectively; and whether he will make representations in this matter.
§ Mr. P. ThorneycroftYes, Sir. Strong representations have been made to the French authorities, although so far without success, that the United Kingdom quota should be brought more into line with that accorded to Germany. The current Swiss quota, as published by the French Government, is much the same as that for the United Kingdom, while the Belgian quota is considerably smaller.
§ Mr. EdelmanWhile thanking the Minister for his reply, may I ask him if he will use the occasion of the visit of the French Economic Minister, which I understand is due to take place next week, in order to strengthen the representations being made, because the British machine tool industry is being very hard hit by that form of discrimination?
§ Mr. ThorneycroftI shall certainly use any appropriate opportunities that occur of bringing the matter to the notice of the French authorities.
§ 20. Mr. Edelmanasked the President of the Board of Trade whether his attention has been drawn to the unfair competition from which British machine tool exporters are suffering in the Spanish market, arising from the restricted quota of sterling for imports established by the Spanish Government, which is substantially smaller than the allocation granted to Germany, Switzerland and Belgium, respectively; and whether he will make representations in this matter.
§ Mr. P. ThorneycroftNo, Sir. The restrictions on imports of British machine tools and other commodities arise from the extreme shortage of sterling in Spain, and there are no grounds on which I 2007 should be justified in making representations to the Spanish authorities that they are unfairly discriminating against our machine tool industry.
§ Mr. EdelmanIs it not the case that Italian, German and French competitors seem to be placed in an advantageous position as compared with British machine tool exporters? In view of that, will the President seek to equalise the position of British machine tool exporters with that of their foreign competitors?
§ Mr. ThorneycroftThe hon. Gentleman, who, I know, has made some study of these subjects, will appreciate that this is a rather different Question from the previous one. Spain is dealt with on a bilateral basis, and is outside the European Payments Union. I have looked into this matter very carefully, and I am fortified by the fact that the Machine Tools Advisory Council of the Ministry of Supply, who, of course, know more about it still, share the view which I have just expressed.
§ Mr. BottomleyWould it be fair to assume that Spain has no goods to sell us, and that that is why that country is short of sterling?