Recent developments, and their probable effect on textile import levels
in 1972
One of the objects of the tariff decision was to foster a more
efficient,more compact Lancashire industry able to stand on its feet in an international environment. It was always envisaged that imports would
remain at a relatively high level (though the pattern of suppliers
within that level might well change); this pressure of imports would
speed the departure from the industry of the less viable firms. It
was also recognised that, immediately following liberalisation, imports
were likely to rise in the shorter term as the formerly restricted
suppliers struggled for increased shares of the market. In recent
months, however, a number of new factors have entered into the
situation which make it necessary to consider whether it would any
longer be prudent to embark on 1972 with no quick and effective means
of checking imports.
Firstly, the process of contraction of the industry took place more
It is
slowly, in the two years following publication of the Textile
Councils Report, than that forecast implied. In recent months,
however, the pace at which firms are being squeezed out of the
industry has increased and is likely to accelerate still
further under the growing pressure of imports.
unfortunate that the painful but necessary process of slimming
down the Lancashire industry to a more sensible size and
structure is taking place within a relatively short period,
rather than over the longer timescale that had been expected;
greater social hardship is being caused because this more
sudden contraction is happening at a time when unemployment
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