TNAG-0388-FCO40-434-Exports-of-knitwear-from-Hong-Kong-to-the-UK-1973 — Page 40

DRAFT

SUBMISSION TO PUSS (ID)

RESTRAINTS ON IMPORTS OF KNITTED GOODS

1. The deputation from the knitting industry which was received

by the Parliamentary Under Secretary on 18 December stressed the

following points in their case.

a)

undergarment?? onfergarments). (kuilled's canchased

b)

they were seeking a restraint on all knitted goods under

headings 60.04 and 60.05, thus giving supplying countries

flexibility between different knitted products.

They were therefore opposed to a sectoral approach.

The UK industry was highly efficient (largely because of

competitive pressure from imports). Their plea for

restraints for three years appeared to be based on their

confident belief that after that time aligned E.E.C.

arrangements would provide them with continued protection.

They did not argue that protection for a limited time would

enable them to stand up to competition.

c) They stressed the loss of jobs, while also stressing

a)

their increases in productivity.

They wanted a larger

share of the growth in the market to enable them to

retain labour while continuing productivity increases.

Despite the difficulties of some firms in getting labour

they believed that, with protection, there would be

sufficient confidence for them to get the labour to

expand their production. This would be likely to happen

increasingly outside the traditional areas (although

they also mentioned firms' reluctance to move away from

such areas).

1.