HC Deb 14 February 1977 vol 926 cc8-9
4. Mr. Wigley

asked the Secretary of State for Trade if he will take steps to negotiate increased import quotas for Welsh manufactured woollen garments and clothes exported to Canada.

The Under-Secretary of State for Trade (Mr. Michael Meacher)

The EEC Commission has requested consultations under Article XIX of the GATT about Canadian quotas in certain clothing imports. I hope that this will result in early action to amend the restrictions.

Mr. Wigley

Is the hon. Gentleman aware that in recent years a number of companies in Wales have worked extremely hard to develop an export market in Canada and that the steps taken by the Canadian Government last November in imposing quotas at the 1975 level could hit those companies disastrously? Will he give an assurance that he will take up the matter with the Canadian Government directly and that the products of certain Welsh companies, such as tapestry and tweed, can be brought into the category of speciality lines, which I understand the Canadian Government are willing to consider as exemptions?

Mr. Meacher

I am well aware of the significance of the Canadian action. As the hon. Gentleman has said, the Canadian Government have recently announced special arrangements in respect of special hardship cases and speciality items. I shall consider the possible inclusion within that category of the items that the hon. Gentleman has mentioned. If I feel that that would be of value, I shall take up the matter direct with either the Canadian or the EEC authorities.

Mr. Ronald Atkins

Why is it necessary for the Canadian Government to impose quotas on a trade of such low proportions? If they feel that that action is appropriate, could we not be a bit sterner in the imposition of import controls or quotas on textiles that come en masse into this country?

Mr. Meacher

My hon. Friend is not quite right about the effect of the textile trade on Canada. In the first half of 1976 Canadian imports of garments increased by 52 per cent. over the same period in 1975, which was a considerably faster increase in textile imports in those categories into Canada than into the United Kingdom. My main answer to my hon. Friend is that we are already protected under the Multi-Fibre Arrangement and the 13 bilateral restriction arrangements that we have made through the EEC which limit almost all textile imports from low-cost countries not only in cotton but in wools, manmade fibres and knitwear.