§ Mr. Teddy Taylorasked the Secretary of State for Industry what information he has as to the offering by European Economic Community steel producers of discounts on their published price lists; and if he will make a statement.
§ Mr. ButcherThere are widespread allegations that steel producers throughout the Community are offering discounts on published price lists, in breach of the ECSC price rules. Such practices may lead to fines being imposed by the Commission. While my Department is ready to pursue such issues with the Commission, it has received very little hard evidence to substantiate the allegations. The Government are determined that steps should be taken to ensure that the rules are obeyed scrupulously by producers in all member States, and my right hon. Friend the Secretary of State intends getting the informal meeting of Industry Ministers on 18 November seriously to address the issue of more effective policing of the rules.
§ Mr. Teddy Taylorasked the Secretary of State for Industry if the British Steel Corporation requires his permission or the permission of the European Economic Community Commission before making discounts or offering reductions on its published price lists; and if he will make a statement.
§ Mr. ButcherPrior permission to make discounts is not required from either the Commission or my right hon.38W Friend, but any such discounts should be in accordance with the price rules laid down in the ECSC treaty and consequential Commission decisions. These require steel producers to publish price lists and to adhere to those list prices except when aligning down on to the price charged by a competitor, or in certain other specific circumstances where the Commission has been notified in advance. Failure to observe these rules may result in fines being imposed by the Commission.
§ Mr. Teddy Taylorasked the Secretary of State for Industry what have been the main reasons for a higher share of the United Kingdom steel market being taken up by the other European Economic Community suppliers in the context of the Community regime of harmonised price lists.
§ Mr. ButcherThere is no Community regime of harmonised price lists, but there are attempts to harmonise Community price levels based on voluntary agreements between producers. The share of the United Kingdom steel market taken by other Community producers is, of course, largely determined by the commercial decisions of the steel consumers; price will be an important factor in those decisions. In so far as producers in other member States are charging prices lower than those of United Kingdom producers, while respecting the ECSC price rules on transparency, this is ultimately a matter for the companies concerned.