CONFIDENTIAL

38.39 Since 1962, Botswana and Lesotho have become independent,

but this has not affected their customs relationship with South

Africa.

We should therefore seek to revive the 'Morocco

Protocol' solution. We understand that this would allow these

olevy

countries unlimited e-free entry for agricultural products

as well as duty-free entry for other goods. In view of the

importance of exports to Britain of beef from Botswana and of

sugar from Swaziland, we should need to make quite sure of this

in talks with the Six.

4035.

The Commonwealth countries for whom no provisional

agreement had been reached by the time of the breakdown of

were

negotiations was: New Zealand (for whom we were seeking a

special country solution over and above tariff and commodity arrangements). the Federation of Rhodesia and Nyasaland, Cyprus (who had applied on her own account for association under Article 238), Hong Kong and Gibraltar.

CONFIDENTIAL

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