POSSIBLE COURSES OF ACTION ON COTTON TEXTILE IMPORTS
26.
Earlier sections of this paper have set out some of the conflicting considerations which need to be taken into account in deciding whether to stand firm on the announced intention of relying on tariff protection alone after 1 January, 1972, unless
or whether to put the conditions of the Crosland formula are met; ourselves into a position to curb any disruptive rise. points to emerge are that
The main
If too
(a) the Textile Council recognised, and the Government
agreed, that Lancashiro's future particularly within an enlarged Community was dependent on a radical contraction, reorganisation and modernisation. much protection is given to the industry, restructuring process which is now belatedy getting under way - will be slowed down.
the
On the other hand,
if imports are suddenly permitted to capture an even larger proportion of our market, the orderly decline of the industry could become a headlong rout, at a time when alternative employment opportunities in Lancashire are particularly scarce.
(b) new problems (failure of UK manufacturers to contain
the US prices like their overseas counterparts;
(c)
restrictions on non-cotton textile imports; the requirement to conform to EEC quota arrangements on 1 January 1973) have recently led us to take a more pessimistic view of the import situation following liberalisation
essentially, however, we are attempting to deal with a short-term situation arising in the year 1972.
On
1 January 1973, we expect to be included within the scope of the Community negotiated restraint arrangements.
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