HC Deb 07 February 1949 vol 461 cc20-1W
Mr. Binns

asked the President of the Board of Trade which of the provisions of the General Agreement on tariffs and trade relating to departures from non-discrimination in import restrictions, Command Paper 7258, will apply to the United Kingdom.

Mr. H. Wilson

Article XIV of the General Agreement (as amended by the Contracting Parties at Havana in March, 1948, to bring it into line with Article 23 of the Havana Charter for an International Trade Organisation) provides two alternative sets of rules relating to departures from non-discrimination in import restrictions designed to safeguard the balance of payments to which countries may choose to conform. The first permits countries to discriminate by means of import restrictions to the same extent as they would be entitled under the rules of the International Monetary Fund to discriminate by means of exchange restrictions, and in addition to maintain and adapt to changing circumstances any discriminatory measures which they were taking on 1st March, 1948. The second permits countries to discriminate where this enables them to obtain additional imports over and above the volume they could afford to purchase on a non-discriminatory basis, provided that certain conditions are complied with. His Majesty's Government are satisfied that the second set of rules would give the United Kingdom the greater measure of freedom and flexibility in import policy, and have notified the Contracting Parties to the General Agreement of their desire to take advantage of these rules. They have also notified the Interim Commission for the International Trade Organisation of their desire to take advantage of the corresponding alternative provisions of the Havana Charter if and when this enters into force in respect of the United Kingdom.