COTTON TEXTILE QUOTAS
Following a recommendation from the Textile Council in 1969 the then
President of the Board of Trade announced the decision to rely
principally for the protection of our own cotton textile industry upon
a tariff from 1 January 1972. An order putting a tariff on cotton
textile imports from the Commonwealth preference area has been laid
before Parliament and will be debated tomorrow. It was recognised
at the time that this arrangement might be subject to adjustment if
we joined the Common Marke; though the Common External Tariff
approximates to the level we propose to introduce.
made clear that although this decision meant ending the general quota
system when the tariff came into effect, recourse to quotas might be
total resumed if'
3
Moreover it was
fimports rose above present levels to the extent of causing
disruption of our own production of particular products.
The situation has substantially changed recently and the contraction
of our own industry, which has always been foreseen, now takes place
in a deteriorated textile situation world-wide and the grave unemploy-
ment situation that exists at present.
Secondly, the voluntary restraints upon the export of textiles to the
USA agreed with certain Asian countries undoubtedly places an added
weight on exports elsewhere and notably to this country whose imports
as a proportion of consumption are far higher than those of any other
major industrial country.
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