0003230
G.F. 323
CONFIDENTIAL
· 32
As the Swedish Government did not request consultations -on (b) in ̧. 1968, it was obvious that it considered that level of imports from Hong Kong tolerable, and in fact might be allowed to go higher. It seemed unreasonable therefore that the proposed restraint limit should be lower than the tolerable import figure of a year ago. The Swedish team were now suggesting a roll-back even lower than the 1967 figure although imports from Hong Kong continued to grow in 1968 to 525: Hong Kong's 1968 exports were 646. Baron de Geer asked if Hong Kong wanted to use 1967 as a basis and if so he would note the request. Mr. Jordan remarked that he would at least expect Sweden to agree to use 1967 as a basis for discussions since it was preferable to the present proposal. He stated that the figure should be higher than a year ago. He thought that the restraint figure should be somewhere between the 1967 and 1968 exports from Hong Kong and he also thought that Sweden should take into account the 5% cut-back on women's and girls' articles. In 1968 Sweden expressed concern about women's and girls' wool and synthetic fibre garments but was unconcerned about exports of men's and boys' wool garments at that time. Baron de Geer remarked that on the contrary Sweden foresaw that development and it was on the Hong Kong delegation's suggestion that Sweden agreed to an Export Authorisation system in lieu of restraint. His delegation had taken note of Mr. Jordan's proposals and they would consider them.
Non-Cotton Garments Table 3 (Anoraks and similar jackets)
113.
Baron de Geer suggested a similar approach to women's and girls' continuous synthetif fibre anoraks as for men's and boys' woollen sweaters, and gave the following figures for the 1969/70 levels:
Men's and boys' (existing)
180
Women's and girls' continuous
(y/e 31/8/68)
179
Women's and girls' discontinuous
(y/e 30/11/68)
19
Total
378
Mr. Jordan replied that Baron de Geer appeared to have left out the growth factor in the items under restraint for the current year and the other points he had made earlier. The reference period for women's and girls' discontinuous should also be 1968. baron de Geer replied that he had no instruction to negotiate a growth factor for sweaters or anoraks.
Non-Cotton Garments Table 4 (Blouses)
114.
Baron de Geer suggested that the roll-back should be from the date of the Note of 27th March 1969 which would give a figure of 520 for the year ending 30/11/68. Mr. Jordan said that the Swedish Note did not make it clear that they were seeking new restraints on any non-cotton item and their intentions were only clarified after the delegation's arrival on 19th April. Baron de Geer replied that Sweden had made the position clear to the British Embassy in Stockholm. The previous year they had approached Hong Kong and not the Embassy and he later realised that that was the incorrect procedure. In March 1969, therefore, Sweden informed the British
/Embassy
CONFIDENTIAL