AFT

NOTE VERBALE

Her Majesty's Embassy present their compliments to the Ministry

of Foreign Trade and on behalf of the Hong Kong Government have the

honour to refer to the requirements for Consular endorsements by

the Italian Consulate-General at Hong Kong in respect of Certificates

of Origin for exports of Hong Kong manufacture to Italy.

The problem of restriction arose on the 5th October 1966

the Italian Ministry of Finance issued a circular abolishing the

requirement for certificates of origin except for imports of a few

products and goods shipped from Hong Kong, Macay and Singapore.

It is appreciated that the unique geographical sighting of

Hong Kong (a free port on the mainland of Communist China with whom

she still maintains much entropot trade) is one which could give

cause for concern.as to the true provenence of goods exported from

her territory. The Hong Kong Government recognising this concern

created the Hong Kong certificate of origin system to avoid the

possibility of false declaration, It is stressed that all attempts

have been made to ensure the system is as foolproof as possible.

Hong Kong certificates of origin are protected by appropriate

legislation including sanctions for offences.

The Hong Kong Government question whether in view of their

evident determination to operate as secure a system as possible

the present situation requires their certificates of origin to be

endorsed by Italian Consulate-General. The Hong Kong Government

would be prepared to discuss the operation of their certificate

of origin system with the Italian Government.

As the Hong Kong Government believe these arrangements to

certify the origin of Hong Kong products provide adequate safeguard

against the possibility of imports from other countries entering

/Italy

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