Registry No. HUK6/548/8
DEPARTMENT
HONG KONG
SECURITY CLASSIFICATION
PRIORITY MARKINGS
(Date)
Date and time (G.M.T.) telegram should reach addressee(s)
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2017.
19202/21
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Your telegram No.567. UK Textile Council Report.
You will be receiving by telegram the text of the statement on future cotton textiles import policy to be made in Parliament by President of Board of Trade at
3.30 p.m. on Tuesday, 22 July.
2.
We realise that the initial reaction of your industry to this decision will be unfavourable, as you have already indicated in your telegram under reference. We shall naturally be prepared to listen to any further views you may wish to express in the light of the President's statement.
3. You will note that the tariff will not take effect until 1 January, 1972. Your restraint arrangements expire at the end of 1970, and we shall seek your agreement to extend them for a further year.
4.
Provided UK industry becomes more efficient, we must expect the replacement of quotas by a tariff to reduce the level of imports below what it would be if we carried on with a quota system on existing lines. But our studies suggest that the main losers should be the developed countries. We would expect the trade of developing countries to be about the same
as a group
riesh
/ or