HC Deb 19 October 1989 vol 158 cc176-7W
Mr. Kirkwood

To ask the Secretary of State for Trade and Industry when he expects to be in a position to publish the findings of the current review of the knitwear and textile industry being conducted by Professor Silberston; and if he will make a statement.

Mr. Redwood

Professor Silberston was asked, in the light of developments since 1984 when his first report was published, to assess the effects on the United Kingdom economy of import restraints under the multi-fibre arrangement (MFA) and barriers faced by the United Kingdom industry's exports in overseas markets and to examine the economic effects of proposals for the future developments of international trade in textiles and clothing. The Government would welcome the views of all interested parties, if possible by 17 November.

I am grateful to Professor Silberston for the work he has undertaken. His report surveys developments in world trade and production and the specific experience of the United Kingdom textile and clothing sector as well as the existing barriers to trade. He considers how far liberalisation of the MFA would be likely to lead to increased competition from imports and from what sources and examines the likely effects on the United Kingdom economy, particularly in terms of prices and employment. In this context he has looked at the effects on different sectors of the industry and the consequent regional implications. Finally, the report considers the likely effects of the single market and the terms on which gradual liberalisation of the MFA might be negotiated in the course of the current Uruguay round of multilateral trade negotiations.

The report represents Professor Silberston's own views. It will be helpful to the Government's further consideration of textile policy, especially as the European Community enters the detailed phase of negotiations in the Uruguay round during 1990.

In the light of Professor Silberston's findings and the comments received from industry and other parties, the Government will consider the position which the Community should adopt for the further negotiations on the future of the M FA in the Uruguay round. The Government will take full account of the effect of any proposals to phase out the present arrangements, in accordance with the Uruguay round mandate, on consumers, on employment and on the economy at large.

Copies of the report have been placed in the Library.