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Cotton Industry (Reorganisation) Act 1939 facts for kids

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Cotton Industry (Reorganisation) Act 1939
Act of Parliament
Long title An Act to make provision for the better organisation of the cotton industry and certain industries related thereto; and for purposes connected with the matter aforesaid.
Citation 2 & 3 Geo. 6. c. 54
Dates
Royal assent 4 August 1939

The Cotton Industry (Reorganisation) Act 1939 was an important law passed in the United Kingdom in 1939. This Act aimed to help the cotton industry in the UK become more organized and efficient. It did this by setting up a special group called the Cotton Board. The law also helped to close down factories that were no longer needed.

What was the Cotton Industry Act?

An Act of Parliament is a law made by the government of a country. The Cotton Industry (Reorganisation) Act was a law specifically for the cotton industry. This industry makes fabrics and clothes from cotton. In the 1930s, the cotton industry in the UK faced many challenges. There were too many factories and not enough demand for their products.

Why was this Act needed?

During the 1930s, the world was going through tough economic times. This period is known as the Great Depression. Many countries started making their own cotton goods. This meant less demand for cotton products from the UK. As a result, many British cotton factories struggled to sell their products. There were too many factories making cotton, and they couldn't all survive.

What did the Act do?

The main goal of the 1939 Act was to "streamline" the industry. This means making it run more smoothly and efficiently. The law allowed for the closing of "surplus" factories. These were factories that were producing more cotton than people wanted to buy. By closing these extra factories, the remaining ones could operate better. This helped to balance the supply of cotton with the demand for it.

The Cotton Board

A key part of the Act was creating the Cotton Board. This was a new organization set up to manage the cotton industry. The Cotton Board's job was to oversee the changes. It helped decide which factories should close and how the industry could become stronger. This board played a big role in guiding the cotton industry through a difficult period.

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