§ 12. Mr. Blaker
asked the President of the Board of Trade on what criteria it was decided that machinery used in the preparation of seed for sale in the factory which performs all the processes of cleaning, drying, etc., should qualify for investment grants, and that the wastepaper recovery industry should not.
§ Mr. Dell
To receive investment grant a manufacturer must carry on a process which results in a product significantly different from the raw material. As I stated on 23rd April in answer to my right hon. Friend the Member for Sheffield, Hillsborough (Mr. Darling), policy on investment grants for the wastepaper industry has been reconsidered and certain processes carried on by that industry will, subject to the normal conditions, be admissible for grant.—[Vol. 782, c. 85–6.]
§ Mr. Blaker
While I welcome the Government's belated decision relating to the waste paper recovery industry may I ask whether the hon. Gentleman will say what is now the position in relation to other parts of the reclamation industry such as rubber waste and textile wastes?
§ Mr. Higgins
Would the hon. Gentleman agree that while he has told us 1416 what the rules are, he has not told us what the reasons for them are? Is there not a strong case for having consistent rules with regard to S.E.T. and investment grants? Could we have an explanation in each case for the differences between one service and another?
§ Mr. Dell
Over the great majority of the field the treatment of investment grants and S.E.T. is the same. There are a few exceptions. These exceptions arise from the nature of the legislation governing them. In the case of investment grants, it depends on whether or not it is a manufacturing process or a manufacturing industry, but the coverage is very largely the same.