§ 19. Mr. P. Williamsasked the Minister of Transport what was the total tonnage of new shipbuilding orders placed with British shipyards in the first nine months of 1962; and how this compares with the capacity of the yards.
§ Vice-Admiral Hughes HallettThree hundred and eighteen thousand gross tons of orders for merchant ships. In 1961 the industry estimated that its potential annual output was some 1,600,000 gross tons apart from naval construction.
§ Mr. WilliamsDoes my hon. and gallant Friend agree that there is a tremendous slack in the shipbuilding industry which needs to be taken up at some time, both in terms of employment and the provision of new national wealth? This being so, will my hon. and gallant Friend discuss with the Treasury the possibility of tied aid so that ships can be built and exported to countries presently wanting assistance from this country?
§ Vice-Admiral Hughes HallettI should like to think a little more about the precise proposition of my hon. Friend, but the short answer is that we are limited by the G.A.T.T. agreement. We are restricted from placing a subsidy 399 solely for export orders. If we placed a subsidy at all it would have to be a general construction subsidy.
§ Mr. WilleyCan the hon. and gallant Gentleman say when his right hon. Friend last met the shipbuilders, and what was the effect of their discussions?
§ Vice-Admiral Hughes HallettSpeaking from memory, my right hon. Friend last met the shipbuilders about 10 to 14 days ago, and I meet them regularly every month, or sometimes every other month.
§ Mr. ShinwellIs the hon. and gallant Gentleman aware that the international maritime shipping and shipbuilders' organisations have been meeting recently to consider, not the building of more ships, but an international agreement on laying up tonnage, simply because there is a surplus of tonnage throughout the world? Therefore, it is no use talking about building ships in view of this circumstance. Is not the solution to the problem, and the only possible solution, not subsidies and credit terms and all the rest of it, but an increase in the volume of international trade?
§ Vice-Admiral Hughes HallettThe right hon. Gentleman is perfectly correct, and it is true that the first meeting of, I hope, a profitable series of meetings took place yesterday of the international tramp shipowners in the hope of coming to some sort of freight stabilisation agreement.
§ Mr. WilliamsIn view of the importance of this subject, I give notice that I wish to raise it on the Adjournment at the earliest possible date.