HC Deb 01 June 1981 vol 5 cc634-5
11. Mrs. Faith

asked the Secretary of State for Trade if he will take steps to counteract cheap hosiery imports from Italy.

Mr. Parkinson

If my hon. Friend or the hosiery industry knows of evidence of a breach of the Treaty of Rome, my Department will be glad to assist with the assembly and presentation of the case to the European Commission for appropriate action in accordance with the Community treaties.

Mrs. Faith

Is my hon. Friend aware that until recently our hosiery manufacturers had held their share of the United Kingdom market very well, because of their excellent quality and value? However, in the past six months Italian hosiery manufacturers have increased their share of the United Kingdom market from 3 per cent. to 10 per cent. Does my hon. Friend accept that, in view of the increase in the number of cheap imports, there should be an investigation into trading practices to see whether any dumping is taking place?

Mr. Parkinson

I am slightly puzzled by my hon. Friend's question. I understand that imports from Italy in 1980 actually fell to 21 million pairs from 27 million pairs. As she knows, it is difficult within the Community to take action against other member States' products on the ground that they are cheap. Unwelcome competition is not always unfair.

Mr. Greville Janner

The Minister suggests that his hon. Friend should bring forward evidence of breaches. Should not the Department look into the manner in which the treaty is being complied with? Is the hon. Gentleman aware of the enormous unemployment and hardship in the hosiery industry? Is he prepared to set up an investigation into dumping whether from within or outside the Community?

Mr. Parkinson

I am trying to separate the gush from the question in the hon. and learned Gentleman's statement. The concept of dumping does not apply within the Community, but it does apply from outside. If evidence is available we shall follow up the cases. The industry and the Government work together in the preparation of a case. Each needs the information that is available to the other.

Mr. Greville Janner

On a point of order, Mr. Speaker—

Mr. Marlow

Is my hon. Friend aware that there is also a strong—

Mr. Janner

rose—

Mr. Speaker

Order. Is the hon. and learned Member for Leicester, West (Mr. Janner) giving me notice that he wishes to raise the matter on the Adjournment?

Mr. Janner

I shall raise the matter afterwards.

Mr. Speaker

That will be too late. If the hon. and learned Gentleman is giving me notice, I shall move on. Mr. Marlow.

Mr. Marlow

Is my hon. Friend also aware that strong suspicion exists of unfair trading in the export of Italian footwear to this country? Although the volume and the value of our imports from Italy are even greater than our footwear exports throughout the world—

Mr. Speaker

Order. The question relates to hosiery. If the hon. Gentleman wishes to ask a question about footwear, he must table it.

Mr. Campbell-Savours

If the hon. Gentleman will not investigate allegations of dumping, will he investigate any possible cost advantages to the Italian industry which enable it to compete in the manner that it does in the British market?

Mr. Parkinson

We have looked into a number of allegations of various breaches by Italian nationals of their national rules. It is, however, extremely difficult to mount a case on the basis that there is in Italy a black economy which helps their manufacturers when the president of our Board of Inland Revenue has said that a black economy exists in our country and has also estimated its size.

Mr. Janner

On a point of order, Mr. Speaker. While fully accepting that, in the knock-about of Question Time, one can make remarks that are not intended to be offensive, when one is dealing with unemployment and hardship—

Mr. Speaker

Order. Did the hon. and learned Gentleman wish to give notice about raising the matter on the Adjournment?

Mr. Janner

No, Sir.

Mr. Speaker

In that case, we are wasting time.

Later—

Mr. Janner

On a point of order, Mr. Speaker. I am sorry that I could not give you notice beforehand. You may recall that in my supplementary question to question 11 I referred to the disastrous state of the hosiery industry, and to the resultant suffering in my constituency. In his reply, the Minister used language which I know my constituents would find extremely offensive, even though it might not have been personally intended. Is it in order for the Minister to be given the opportunity to withdraw that language?

Mr. Speaker

I am lost for words. It is a long time since I have heard a point of order with such little strength.