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Textiles Authority Report- yarns, knitted fabrics and towelling



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X AUSTRALIA,,^

Press Statement No. 3 December 1974

TEXTILES AUTHORITY REPORT - YARNS, KNITTED FABR’lCS AND TOWELLING

The Prime Minister, Mr Whitlam, announced today that, following consideration of a report by the Textiles . Authority within the Industries Assistance Commission, the Government had decided to introduce tariff quotas on imported

acrylic apparel yarns, knitted or crocheted fabrics of man-made fibres and terry towels. Mr Whitlam stated that the Textiles Authority had found that imports in these areas were causing market disruption. Mr Whitlam also released the

Authority's report'and an exchange of correspondence between the Standing Interdepartmental Committee on Assistance to Industries and the Commission.

. Mr Whitlam said that the Government did not consider it appropriate to attempt to negotiate voluntary restraints on the basis recommended by the Authority. Therefore the Government had decided to accept the Authority's alternative recommendation that other means such as tariff quotas be used to achieve a similar measure of assistance to the domestic .

industry. Mr Whitlam said that the tariff quotas which were . being introduced consistently with Australia's rights and obligations under the GATT would remain in effect for the next 12 months and that this form of assistance would be reviewed within that period.

Mr Whitlam said that he would be sending a reference to the Industries Assistance Commission for inquiry and report on the long-term assistance requirements of the sectors of the Australian industry concerned.

Mr Whitlam added that tariff quotas would apply to all imports of the products concerned cleared for home consumption after the date of this announcement. The policy aspects of the administration of the tariff quotas will be the responsibility of

the Minister for Manufacturing Industry who will announce detailed arrangements in the near future. Copies of the Textiles Authority's report and related correspondence are now available.

CANBERRA. A.C.T.

THE DEPARTMENT OF

THE .PRIME MINISTER AND CABINET ' C A N B E R R A , A .C .T , 2600

1 9 H 0 V 1974

Dear Mr Rattigan,

^ With regard to the report of the -Commission on

Yarns, Knitted Fabrics and Towelling the Textiles Authority has recommended, inter alia, that provided prompt action can be taken to negotiate restraint arrangements as recommended no interim action should be taken to introduce restraint measures.

The Authority further invited attention to its suggestion on the need for alternative measures to restrict imports in the event that the recommended restraint arrangements cannot or are unlikely to be achieved without undue delay.

In the event that the Government considers that negotiations under the G.A.-T.T. Textiles Arrangement would not be appropriate the Standing Interdepartmental Committee on Assistance to Industries would appreciate confirmation from

the Authority that its suggestion regarding alternative measures to restrict imports is intended as a recommendation that the Government should take sdme form of alternative action such as tariff quotas to provide the same measure of assistance to

local industry. The Committee is aware that the original recommendations were intended to apply to only certain countries but that alternative measures of assistance, consistent with Australia's G.A.T.T. obligations, wduld have to be applied multi-laterally. =

The Committee would also appreciate any recommendation the Authority could make on the level of the penalty duties required should the Government decide that tariff quotas be introduced.

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2.

If the Commission's advice on the penalty duties question is likely to be delayed the Committee would appreciate advice on the first matter raised at the earliest possible time .

Yours sincerely,

*

7/ (G. N. Steele) Assistant Secretary Tariff Operations Branch

Mr G . A. Rattigan,.C .B . E ., _ Chairman, Industries Assistance Commission, Kings Avenue, BARTON A.C.T. 2600

I n d u s t r i e s A s s i s t a n c e C o m m i s s i o n

Chairman Kings A venue Canberra, A .C .T .

19 November 1974

G.N. Steele, Esq., Assistant Secretary, . Tariff Operations, Protection Policy Division,

Department of the Prime Minister and Cabinet, West Block, CANBERRA, A.C.T. 2600.

Dear Mr. Steele,

I refer to your letter of 19 November 1974 regarding the report of the Commission on Yarns, Knitted Fabrics and Towelling.

I confirm the intention of the Textiles Authority that, in the event the Government considers that negotiations under the GATT Textiles Arrangement would not be appropriate, the suggestion regarding alternative measures to restrict

imports is intended as a recommendation that the Government should take some form of alternative action such as tariff quotas to provide the same measure of assistance to local industry.

The Commission's advice on the penalty duties question will be forwarded to you shortly.

(G.A. Rattigan)

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I n d u s t r i e s A s s i s t a n c e C o m m i s s i o n

Chairman K ings A venue Canberra, A .C .T .

G.N. Steele* Esq., Assistant Secretary, Tariff Operations,

Protection Policy Division, Department of the Prime Minister and Cabinet, West Block, CANBERRA, A.C.T. 2600. 22 November 1974

Dear Mr. Steele, .

Further to nr\y letter of 19 November 1974, I set out below the penalty rates which the Textiles Authority recommends should apply to imports above quotas for items on which restraint measures have been recommended in its report on Yarns, Knitted Fabrics and Towelling:

On acrylic yarn in which each and every $4.00 per ply is finer than 120 tex - item 56.05.3, kilogram statistical codes 91, 105, 116 and 127.

On knitted fabrics of acetate, acrylic, $2.00 per polyamide and polyester falling within square metre item 60.01.99, statistical codes 770, 781, 84X, 850, 792, 861, 930, 941, 952, 963, 974, 985, 996, 1004.

On towels falling within item 62.02.6, $2.00 per statistical codes 51, 62, 73, 84 and 95. square metre

These rates are intended to apply in addition to the existing rates of duty.

Yours sincerely,