equal—to justify its position in the economic life 
of the country and in world trade. 
What handicaps, if any, exist with regard to raw 
materials, transport, and in the marketing of its 
products. 
Factors of competition arising from trade restrictions 
and barriers on the part of its competitors. 
Factors of competition arising from lower standards 
of wages, hours and labour conditions in competing 
countries, including non-observance of International 
Labour Conventions. 
Factors of competition arising from subsidies, direct 
or indirect, or other similar measures in competing 
countries in relation to their exports of iron and 
steel. 
The cost of unemployment, not only in actual ex- 
penditure for the maintenance of the unemployed, 
but in the waste of skill and loss of morale, and the 
possibilities of the capitalised value of this and its 
equivalent being applied productively as a part of 
an organised scheme of dealing with the industry.” 
Having failed to induce Mr. Baldwin to set up a special 
[nquiry and as a General Election was pending, and the 
Labour Party had pledged itself to set up a Committee 
both for the iron and steel industry and the cotton textile 
trades, the matter could not be carried further for the 
time being. 
Subsequent events as to the setting up a Committee 
of Inquiry by the Labour Government, before which the 
Confederation gave evidence, are known to you. While 
the Report did not receive official publication, sufficient 
is known through foreign sources to enable us to state 
that the two essential factors referred to in this statement, 
namely, national organisation and foreign competition, 
formed an essential part of the Committee’s conclusions. 
At the same time, as the result of consultations between 
the Central Banks and the Government, the Bankers’ 
Industrial Development Company was set up, the purpose 
of which it is understood is to secure the organisation and 
financing of important industries under approved schemes. 
The results of its efforts are not much in evidence so far as 
the iron and steel industry is concerned, and it is alleged 
that what has resulted from the formation of the B.I.D. 
is a form of cartelisation of finances of a restrictive 
character. It is public knowledge, however, that a national 
scheme of organisation and development has been formu- 
lated, and that the iron and steel manufacturers are urging 
the institution of tariffs, and that this the Government are 
unable to accede to. It is clear, therefore, that an impasse 
has been reached and that an alternative must be found 
not only in the interests of the workpeople, but in the 
national interests. 
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