CYPHER/CAT A
IMMEDIATE HONG KONG
TELNO
655
CONFIDENTIAL
TOP COP:
76
ΤΟ FOREIGN AND COMMONWEALTH OFFICE
18 AUGUST 1969
CONFIDENTIAL
NEUTRAL
ADDRESSED TO FCO TELNO 655 OF 18 AUGUST R.F.I. OTTAWA.
MY TELEGRAM 652.
CANADIAN TEXTILES.
75
MEETINGS BEGAN TO-DAY.
HAVING BEEN ADVISED AS A PRELIMINARY
THAT WE WERE UILER YOUR INSTRUCTIONS NOT TO MEGOTIATE IN VIEW OF
YOUR POLICY DIFFICULTIES, CANADIA IS NEIT THROUGH THE PRESENT
RESTRAINTS, STATING THE POSITION AS THEY SAW IT AND THEIR OWN
PROPOSED EXTENSION TERMS. THEY WERE FAIRLY REASONABLE
(INCLUDING, SIGNIFICANTLY, CONTINUED EXCLUSION FROM
RESTRAINT OF POLYESTER/POLYNGSIC TROUSERS, EXPORTS OF WHICH HAVE
GROWN VERY SUBSTANTIALLY) UNTIL THEY CAME TO M M F SHIRTS, WHEN
THEIR PROPOSALS WERE VERY RESTRICTIVE ( INVOLVING INCLUSION
OF POLYESTER/POLY1OSIC SHIRTS IN A JOINT M M F CATEGORY WITH VERY
LIMITED GROWTH OVER PRESENT POLYESTER/COTTON LEVEL AND COUNTING
OF THIS YEAR'S EXCESS ON THIS BARIS AGAINST NEXT YEAR. WE SAID
THAT IN NO CIRCUMSTANCES WOULD ANYTHING OF THIS KIND HAVE BEEN
ACCEPTABLE TO US. CANADIANS THEN ASKED WHETHER, IF THEY
(SUBJECT TO THEIR MINISTERS) IMPROVED THEIR SUGGESTION TO A POINT
WHICH WOULD HAVE SATISFIED US, AND HMG, WITHDREW THEIR POLICY
OBJECTIONS OF PRINCIPLE, WE WOULD BE FREE TO ACCEPT THEIR PROPOSAL.
WE REPLIED THAT XE COULD NOT GUARANTEE THIS, AS THE ACTUAL
FIGURES COULD AFFECT THE POLICY DECISION FOR YOU.
RECEIVED IN R CICTRY No.51 19 AUG 1969
HIKK6/931/1
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