THE EU
It is a sad fact that if one puts a socialist in charge of something, then there is a strong likelihood that there will soon be quotas, shortages and/or surpluses and a misallocation of resources in general. And so it has proved again.
Peter Mandelson, one of Tony’s cronies, was appointed the British EU commissioner a year ago, and took up the role of trade commissioner. Now there is a shortage of bras across the EU.
Mr Mandelson decided to try and restrict the numbers of Chinese garments allowed into the EU. In bygone years, and in the USA today, a desire to restrict cheap imports would have resulted in the imposition of tariffs to cancel out the effect of the cheap labour [or subsidies, or whatever]. Tariffs have the benefit of still allowing the market to distribute the items affected, and also have the benefit of raising tax revenue.
Mr Mandelson decided to implement voluntary quotas. The result is that there are now estimated to be 48million jumpers and pullovers, 17.5million trousers, 6.5million bras and 4.6million shirts and T-shirts impounded in warehouses across the EU, as the Chinese have already reached their annual quota.
Meanwhile there is a shortage of these goods, especially bras, in retail shops. Some retailers are facing extreme financial difficulties as they are unable to sell goods. According to the British Retail Consortium, at least £50million worth of clothing has been blocked from entering the UK from China even though it has already been paid for.
Prices are expected to be forced up due to the shortages.
Meanwhile, EU trade negotiators have flown to Beijing to try and reach new agreements for the allocation of the quotas [how the communist Chinese must love the irony of the free-trade West pleading with communists to agree quotas for the distribution of goods].
Mr Knight the chief executive of JJB Sports said:
‘It’s absolute and utter chaos. The whole thing is a complete mess caused by imbeciles who don’t know how business works.’
Meanwhile, Mr Mandelson has been enjoying his summer hols in Italy.
Peter Mandelson, one of Tony’s cronies, was appointed the British EU commissioner a year ago, and took up the role of trade commissioner. Now there is a shortage of bras across the EU.
Mr Mandelson decided to try and restrict the numbers of Chinese garments allowed into the EU. In bygone years, and in the USA today, a desire to restrict cheap imports would have resulted in the imposition of tariffs to cancel out the effect of the cheap labour [or subsidies, or whatever]. Tariffs have the benefit of still allowing the market to distribute the items affected, and also have the benefit of raising tax revenue.
Mr Mandelson decided to implement voluntary quotas. The result is that there are now estimated to be 48million jumpers and pullovers, 17.5million trousers, 6.5million bras and 4.6million shirts and T-shirts impounded in warehouses across the EU, as the Chinese have already reached their annual quota.
Meanwhile there is a shortage of these goods, especially bras, in retail shops. Some retailers are facing extreme financial difficulties as they are unable to sell goods. According to the British Retail Consortium, at least £50million worth of clothing has been blocked from entering the UK from China even though it has already been paid for.
Prices are expected to be forced up due to the shortages.
Meanwhile, EU trade negotiators have flown to Beijing to try and reach new agreements for the allocation of the quotas [how the communist Chinese must love the irony of the free-trade West pleading with communists to agree quotas for the distribution of goods].
Mr Knight the chief executive of JJB Sports said:
‘It’s absolute and utter chaos. The whole thing is a complete mess caused by imbeciles who don’t know how business works.’
Meanwhile, Mr Mandelson has been enjoying his summer hols in Italy.
posted by erc @ 7:08 pm
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