Confronted yesterday, Mr Corbyn admitted being a member of the controversial group but denied ever seeing anti-Semitic posts.
Speaking at the conference on Friday, Corbyn said: "We can not be held back inside or outside the European Union from taking the steps we need to develop and invest in cutting edge industries and local business to stop the tide of privatisation and outsourcing".
Labour has launched an investigation into claims party members posted anti-Semitic comments on a closed Facebook group dedicated to Palestinian rights.
Labour UK leader Jeremy Corbyn with Scottish leader Richard at the Caird Hall in Dundee.
Labour won seven seats at last year's general election, a fact that Mr Corbyn's political opponents said...
Among the reported remarks are allegations about Israeli involvement in the 9/11 terror attacks, as well as links to postings from neo-Nazi groups.
"I don't think anyone is suggesting that anything that Jeremy has written in any Facebook group or anywhere else constitutes anti-Semitic comments".
Corbyn added that he had not seen the anti-Semitic posts on the group.
An internal inquiry in 2016 found that Labour was not overrun by anti-Semitism or other forms of racism but that there was an occasionally "toxic atmosphere" within the party.
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However, Jennifer Gerber, the director of Labour Friends of Israel, argued that Corbyn's membership in Palestine Live, itself, was problematic, "That Jeremy Corbyn was a member of a Facebook group frequented by anti-Semites, Holocaust deniers and Israel-hating conspiracy theorists is both appalling and utterly unsurprising".
But he said Labour would seek to negotiate "protections or exemptions where necessary".
Ms Dugdale said the Labour party had "allowed the myths of European Union immigration rules to be perpetuated by our own failures to take on these hard arguments for decades".
"And given Ian Murray's such a keen supporter of the single market, it seems Labour's leader and most senior Scottish MP are at bitter odds on this vital matter". He left the group around the time he became Labour leader, although the party has not confirmed whether it was before or after he won the leadership contest, or what motivated his departure, The Guardian noted.
In response to the suspensions, Lord Rabbi Jonathan Sacks called on Labour to "adopt a zero-tolerance approach to antisemitism".
But he said: "If we are genuinely going to have a jobs first Brexit, that deal must be compatible with our plans to bring the railways and postal service into full public ownership, transform energy markets and end the privatisation of our public services".
Mr Corbyn confirmed he was signed up to the group without his knowledge but later exchanged messages on it.
"We are campaigning to increase support and confidence in Labour among Jewish people in the United Kingdom".