§ 6. Mr. Peter Emeryasked the Minister of Power what action he is taking to allow scrap iron to be exported from the United Kingdom.
§ Mr. WoodI have agreed with my right hon. Friend the President of the Board of Trade to allow the poorer grades of iron and steel scrap to be exported, and an open general licence for this purpose was issued last month.
§ Mr. EmeryWhile thanking, my right hon. Friend for that reply, may I ask him whether he does not realise that this is only a very small percentage of iron and steel scrap? Does he realise that the scrap holders at the moment are completely burdened by an excess of scrap and that the credit restrictions stop them holding any more? What is more necessary for the time being is an open general licence for all grades of scrap iron, particularly grades No. 1 and No. 2 steel scrap? Would he consider that with his right hon. Friend?
§ Mr. WoodI will certainly consider what my hon. Friend says. The difficulty and danger is, of course, that if we export now, at relatively low prices to a weak market, we may later have to replace scrap sent abroad with high-priced imports when the market hardens. Therefore, what I should like to do is to see how the relaxation which my right hon. Friends and I have adopted works out in practice; but I will consider what my hon. Friend has said.
§ Mr. EmeryWill my right hon. Friend bear in mind the fact that the trade wishes these export licences only till the steel works begin normal operation again, and that therefore very short-term licences will be completely acceptable?