Dear David TrippierDavid,
Thank you very much indeed for your letter of 4 March concerning the British Textile Industry.
Although I am naturally pleased to read the sentiments you express at the beginning of the second paragraph of your letter, I do understand that you and your colleagues in East Lancashire are facing enormous pressure from rising import competition from low-cost countries and elsewhere.
As you are aware, John Nott has negotiated the imposition of quota levels against the United States on polyester filament yarns and nylon carpet yarns. At the same time, you will have been pleased to see that we have extended the Temporary Short Time Working Compensation Scheme for another twelve months which will relieve the pressure which the industry is facing at the moment.
The Government is very anxious to confirm that we wish to see the continuation of a viable textile industry and, as an illustration of that commitment, I would draw your attention to our support of the existing MFA and our pledge to press for a continuation of effective restraints when the current MFA expires in 1981. Full account will be taken of the problems of the industry.
We are, of course, duty bound by community regulations to advertise certain public contracts for tender. We comply fully with these. Departments in practice buy almost all their requirements for [end p1] textiles and clothing from UK firms because they are generally competitive and offer best value for money.
I am well aware of the efforts which you and your colleagues in East Lancashire have made on behalf of the industry. The Government will do all it can to ensure that the industry enjoys conditions of fair trade with its competitors overseas.
Yours ever
Margaret