§ Mr. Hobdenasked the First Secretary of State and Secretary of State for Economic Affairs whether he will make a statement about the price of cement, in view of the ending of the shortage.
§ Mr. George BrownAs I informed the House on 7th July, 1965, the Cement Industry at that time delayed its proposed price increase for a week in order to give me an opportunity of considering it. More than half of the increase then made arose from the need for abnormal imports of clinker and cement. The level 343W and cost of imports would be taken into account by the Independent Cost Committee in its next review.
This review has now been carried out by the Independent Cost Committee on whose advice the Cement Industry is now proposing, after detailed discussion with the Ministry of Public Building and Works and my Department, to reduce the price of cement by 3s. a ton in the New Year. This is made possible by the fact that while certain costs have increased, it is no longer necessary to continue abnormal imports. My right hon. Friend and I are satisfied from these discussions that the resulting level of profitability of home production will be in line with the decision of the Restrictive Practices Court.