§ Mr. Tom Kingasked the Secretary of State for Industry if he will list in the Official Report the recommendations for action by Government made in the NEDO working sector report for the knitting industry together with details of the action taken by Government to implement those recommendations.
Mr. Alan WilliamsThey are
Recommendation.—The MFA should be renegotiated for a 10-year period, taking account of suggestions made by the SWP.Action.—The Department is engaged on a policy review of the MFA in consultation with the industry and unions.Recommendation.—Assistance should be given to new or would-be exporters.Action.—Substantial assistance is already given to exporters by the British Overseas Trade Board and the Department of Trade. The second-stage industrial strategy work seeks to identify ways of increasing export market shares, and further opportunities for useful assistance may be identified by the SWP in this exercise.429WRecommendation.—There should be orderly control of disruptive imports from EEC Associate member States.Action.—The Government are providing information to the SWP on the safeguard provisions which permit the Community to deal with problems caused by disruptive imports. Action on cotton yarn imports from Turkey and Greece was taken in 1974–75 under the Multi-Fibre Arrangement. The Government remain ready to take action against disruptive imports when it considers that a compelling case can be demonstrated.Recommendation.—Imported goods should indicate home market price and origin marking to assist the speedy implementation of antidumping regulations.Action.—The Trades Descriptions Act 1968 is now under review and this will enable the Government to consider the scope of the order-making powers in this field. The Trade Descriptions Act 1972 already requires that a conspicuous indication of the country of origin must accompany any United Kingdom name or mark which is applied to imported goods. Consideration is also being given to the possibility of requiring home market price to be marked on import documents, and meanwhile the SWP have invited trade associations to provide more detailed information to substantiate their application for changes.Recommendation.—Anti-dumping procedure should be speeded up and made more effective—for example, by placing the burden of proof on the exporting country or the importer. Wider use to be made of provisional duty orders.Action.—The Department is providing information for the SWP on the operation of United Kingdom anti-dumping procedures and on the transfer of responsibility for antidumping to the EEC Commission in 1977. The Government have reviewed their own procedures to ensure that action is taken as quickly as possible, and the Department of Trade's anti-dumping unit has been greatly strengthened. Nevertheless, the Government depend heavily on industry to supply all the requisite information before action can be taken and provisional duty orders imposed.Recommendation.—A more positive attitude to risk bearing is sought from the ECGD in order to reduce lost export orders.Action.—ECGD has replied that its overall limits on cover for particular markets would not normally affect knitting products which are sold on a short-term credit basis. The sector working party is considering the problem further.Recommendation.—An export agency should be created to help small firms with documentation, etc, possibly developing into selling consortia.Action.—The Department is in contact with the industry to examine the possibilities of providing aid to initiate co-operative action by small firms.Recommendation.—The banks should consider providing pre-shipment finance for exporters.430WAction.—A detailed response to this recommendation has been sent to the sector working party by ECGD, and further discussion is taking place to identify what improvements would be of particular value to the industry.