HC Deb 09 February 1976 vol 905 cc11-2
7. Mr. Edwin Wainwright

asked the Secretary of State for Trade if he will now take necessary steps to prevent the unfair competition arising from the importation of large numbers of low-priced electrical goods such as toasters, irons and hair driers which are causing short-term working and the threat of redundancies at the Hotpoint Plant, Swinton, Mexborough; and if he will make a statement.

The Under-Secretary of State for Trade (Mr. Eric Deakins)

I have received no evidence of unfair competition arising from the importation of such goods.

Mr. Wainwright

That is a dusty answer. Does my hon. Friend realise that several small factories have been closed in South Yorkshire in the last two or three years, but that this is not a small factory? It is a large one. Is he further aware that a tremendous amount of money has been spent trying to modernise it? Indeed, it is going through that phase at the moment. Does my hon. Friend want this factory to close down, creating great unemployment in the Mexborough district? If the Department cannot find any evidence to prove that imports are below the figure that we say they should be, and if the Department cannot restrict imports, will the Minister tell the owner of the factory what the Government will do in order to make certain that the factory can be viable?

Mr. Deakins

We have had no request from this industry for action either to impose import controls or to initiate antidumping action. The initiative surely rests with the industry. I would point out that although import penetration has increased with hair driers it has fallen in the other two categories, namely toasters and irons.

Mr. Warren

Is not the problem the imposition of 25 per cent. VAT on these items? Is the Minister aware that in my constituency of Hastings we have had hundreds of redundancies because no attention has been paid to the need to protect the employment of people who ought to be in work producing goods that are required in the United Kingdom market?

Mr. Deakins

I remind the hon. Gentleman that value added tax is a matter for my right hon. Friend the Chancellor of the Exechequer.

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