§ Mr. Patrick Jenkinasked the Chancellor of the Exchequer whether it was the intention of Her Majesty's Government, when introducing the export rebate, that the benefit of the rebate should ultimately accrue to the manufacturer of any goods exported rather than to the merchant or other dealer, whether acting as principal or otherwise, by whom the goods may be sold to the overseas buyer; and if he will make a statement.
§ Mr. MacDermotThe export rebate scheme is intended to provide an export incentive applicable to a wide variety of transactions. Exporters, including manufacturers, claim rebate on transactions in which they have acted as principals and as such are beneficially entitled to the payment for the goods accruing from the overseas purchaser.
The taxes covered by the rebate enter into the cost of production, manufacture or transport of exported goods and their materials or components; and where a manufacturer is not himself the claimant it will often be appropriate that all or part of the benefit of the rebate should be passed back to him. But the commercial relationships concerned vary greatly, and this must essentially be a matter for commercial negotiation in the light of individual circumstances.
The Government hope that all parties concerned will benefit, directly or indirectly, from the general stimulus to our exports that the rebate is designed to give.