Commissioner Martin Bangemann defended the Commission's decision to impose anti-dumping duties on imports of cotton. He was replying to a debate in which MEPs expressed concern at the haemorrhaging of Europe's textile industry, which has seen 600,000 jobs disappear between 1990 and 1996.
The decision to impose duties on unbleached cotton cloth from countries such as China and India, used by the textile finishing industry in the UK, was, said Commissioner Bangemann, in accordance with legal advice. It was also taken after a Commission investigation into complaints from some European textile producers in Italy and France that below-cost imports of raw material were coming into the EU. The Commissioner acknowledged the concern of MEPs from the UK that this would put up costs for a vulnerable industry and place many jobs in jeopardy.
As to other EU action to help the industry, Mr Bangemann said that an old-style "protectionist" policy would not work. It would not contribute to making Europe's producers competitive and able to survive in the global market. Aid to the industry however, for restructuring, could be available under the regional fund or indeed the Agenda 2000 programme.
Assistance for training could also be financed from the EU budget and the new research programme could also apply to textile projects. But the Commissioner was hesitant about coming forward with a specific proposal with new money for textiles. His other concern was the non-wage costs of labour, which he said was having an adverse effect on competitiveness in an industry where wage costs were an important factor.
Eight EU countries including Ireland, the UK and Nordic countries, have objected to the Commission's decision to improve antidumping on unbleached cotton cloth from China, Egypt, India, Indonesia, Pakistan and Turkey.