C. S. 20A
L CONVIDENTIAL
SAVINGRAM
From the Governor, Hong Kong
To the Secretary of State for the Colonies
peated to:-
Repeated to:—
Date............
My Reference..........
*
Your Reference...........
No.
148
No. No.
4,
One particular local difficulty is that it was only possible to push through final agreement on cloth by over-riding and thereby alienating a large section of the spinning industry and they will oppose all the more strongly any early attempt to extend the undertaking to yarn unless there is a very strong case indeed.
5.
The Cotton Advisory Board discussed your second point at some length and, although it agreed your proposed amendment, did so subject to inclusion of the right to cancel. The wording agreed was as follows :-
287
бо
"13.
If Britain becomes a member of the European Economic Community before the expiry of this undertaking, the right is reserved to call for consultations to consider what modifications of the undertaking should be made and if modifications satisfactory to Hong Kong are not made within three months, Hong Kong reserves the right to cancel this undertaking."
Your paragraph 4. The discrepancy between the proportions and the basic quotas for 1962 announced by the Board of Trade (your telegram 872) was pointed out by a member of the Cotton Advisory Board and use of your figures instead of the fi igures in the last column of my savingram 2008 must be justified. Grateful therefore for explanation. If that point is cleared up, I see no difficulty in using your rounded figures. Rounding is itself not a satisfactory explanation as that would give 44%, 46% and 10%.
7.
L
335
If possible Angus will visit London during or after the Geneva talks and will discuss these matters with MacMahon. He will also raise the question of the proposed Goodwill Visit and would like further information about the current talks in India and Pakistan.
CONFIDENTIAL