2 -

Group III - Finished piecegoods

Category 10 (Yarn-dyed (including denim), under 60" in width): This category now excludes yarn-dyed fabrics 60" and over in width which are now in category 12A. Companies which were allocated quota in 1968 in category 10 and shipped their quota in wide yarn-dyed finished fabrics will qualify for 1969 quota in category 12A.

Category 12A (Sheeting, shirting, winceyettes, flannelettes, other raised, brushed or sueded fabrics and yarn-dyed fabrics, other than printed, 60" and over in width): This is a new category including finished sheeting 60" and over from the Group III "basket" and yarn-dyed finished fabrics 60" and over from category 10. As the limit for this new cate- gory is lower than performance in 1968, companies which shipped wide finished sheeting in the former category 12(15) and raised finished sheeting in category 12(11) will be unable to receive their full entitle- ment in the new category 12A. The quantity available will be divided pro rata amongst qualified companies and the difference allocated to them as quota either in the Group III "basket" or in the original cate- gories from which the yardage was swung.

Group IV Made-ups and garments

Category 14 (Bed linen (including sheets)) The limit for this category has been reduced to 3.3 million square yards for 1969, with a sub-limit of 1 million square yards for bed sheets. This sub-limit on sheets approximates to export performance in the current restraint period, and in 1969 the tr de will be regulated by means of an export authorisation scheme against quotas issued in category 14.

As regards the yardage limit for category 14 as a whole, allocations against 1968 performance will be made on a pro rata basis up to a maximum of 3 million square yards; this will leave a swing margin of 300,000 square yards. Companies allocated category 14 quota in 1968 will receive the balance of their allocations totalling about 1.4 million square yards in categories 13, 16, 17, 19 and 20, the limit of which have been increased. On the advice of the Cotton Advisory Board, the excess of a quota holder's entitlement over his 1969 cate- gory 14 allocation will be compensated by five equal parcels of yardage in each of the categories 13, 16, 17, 19 and 20.

5.

Further details concerning these adjustments will be contained in quota allocation letters sent to companies.

III. Provisional Quota Allocations

6.

Provisional allocations of 1969 quota will be made to qualifying companies shortly, and final allocations will be confirmed about the end of January 1969. Letters of allocation will contain further in- formation regarding the conditions attaching to the quota.

In accor- dance with normal practice, provisional allocations will not be transferable.

IV. Export Authorisation System

7.

The present export authorisation system relating to shipments of items in the "n.e.s." categories will continue in 1969.

V. Swing Scheme

8:

follows

The swing scheme for 1969 will be operated in two phases as

(a) Phase 1.....

1;

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