HC Deb 26 April 1978 vol 948 cc567-8W
Mr. Lomas

asked the Secretary of State for Industry what action he is taking to assist textile industries and, in particular, woollen textiles in the United Kingdom.

Mr. Cryer

My Department is operating two schemes of financial support under the Industry Act 1972 for the modernisation, re-equipment and restructuring of the wool textile industry. The first scheme, which is nearly completed, will involve Government expenditure of about £16 million and will have resulted in total investment by the industry of about £70 million. The allocation of £5 million of Government assistance under the second scheme is expected to be fully taken up by the industry. Both schemes are now closed for applications. There is also a scheme of assistance for firms in the clothing industry, to which £15 million has been allocated. Companies in the wool textile industry, and in the textile industry in general, are also eligible for every form of financial assistance which is available to industry generally.

Mr. Lomas

asked the Secretary of State for Industry if he will list the countries affected by the EEC and its main low cost textile suppliers; and if he is prepared to seek amendments to the list.

Mr. Cryer

The EEC now has bilateral MFA textile agreements with Argentina, Brazil, Colombia, Egypt, Guatemala, Hong Kong, India, Indonesia, Macao, Malaysia, Mexico, Pakistan, Peru, the Philippines, Romania, Singapore, South Korea, Sri Lanka, Thailand, Uruguay and Yugoslavia. In addition, there have been negotiations with Hungary and Poland and negotiations are projected with Bangladesh, Haiti and Iran. There are analogous arrangements with six main Mediterranean suppliers—Greece, Turkey, Spain, Portugal, Morocco and Tunisia—whilst Taiwan is covered by unilateral measures.

As part of the monitoring of the new arrangements, we shall be keeping a close watch upon new sources of supply. Should any of these become significant suppliers of a range of sensitive products we shall certainly press for bilateral arrangements similar to those I have listed.