§ 20. Mrs. McLaughlinasked the President of the Board of Trade if he is aware of the growing concern among Irish linen manufacturers and merchants regarding the large quantity of linen tea towels and towelling imported from Poland, Czechoslovakia and Hungary; and if he will make a statement regarding the possibility of making it necessary to state the country of origin on such items even if a small amount of finishing is done on these goods in this country.
§ Mr. N. MacphersonMy right hon. Friend is aware of the views of Northern Ireland linen manufacturers and merchants. The Merchandise Marks Acts, 1887–1953, prescribe the conditions in which imported goods should bear an indication of origin: my right hon. Friend does not think that any change in this respect is needed.
§ Mrs. McLaughlinIs my hon. Friend aware that Northern Ireland manufacturers do not think that it is sufficient that the Ministry should be aware? In this problem there is a growing need for understanding of the fact that more and more Iron Curtain countries will be sending to this country materials which will have a small amount of finishing done on them and will then go out as if they were British goods. That practice is a contribution towards unemployment in an industry which badly needs help.
§ Mr. MacphersonWhat my hon. Friend says may be true, but if it is, it will probably be compensated by added exports. In the last three years we have increased our exports to Poland, Hungary and Czechoslovakia by £10 million. The main answer to my hon. Friend's anxiety is that at present the question is certainly not one of vast scope. The amount of retained imports of towels and towelling from the three countries in question in 1959 came to only 21 per cent. of the total production of linen and union cloth in Northern Ireland.
§ 21. Mrs. McLaughlinasked the President of the Board of Trade if he will take steps to alter the quota basis of linen goods imported from other coun- 238 tries so that it is based on yardage and not on money value as at present.
§ Mr. ErrollQuotas for trade with the eastern area are normally exchanged on a value basis and my right hon. Friend sees no advantage in suggesting any alteration of that basis for linen goods.
§ Mrs. McLaughlinThis is very difficult. My right hon. Friend must be aware of the importance of this to home producers of linen and cotton goods. When the quota basis is money value, to gain currency many countries will send in more goods at a reduced price. If the basis is yardage, there will be a limit on the number of yards a country can send. Will my right hon. Friend look at the matter again, because it is important to a small industry which must build a good home market if it is to have a good export market also?
§ Mr. ErrollI fully appreciate what my hon. Friend has said about the importance of the industry, but a value quota puts a limit on the value of what may be brought in. Importers naturally wish to sell their goods for as high a price as possible.
§ Mrs. McLaughlinWill not my hon. Friend look at the matter again and bring yardage into it, because that will mean that we shall get a better quality of goods from other countries and know exactly what we are up against instead of, as at present, having no idea?
§ Mr. ErrollThe figures clearly show what we are up against. This is a relatively small import, but I should like to give my hon. Friend additional information.
§ Mrs. McLaughlinI give notice that, in view of the unsatisfactory nature of the reply, I shall do my best to raise this matter on the Adjournment at the earliest possible moment.