CONFIDENTIAL

DRAFT TELEGRAM TO

Bogota, Mexico City, Bangkok, Belgrade, Beirut, Rabat,

Algiers, Dakar, Macao, Tehran, Rio de Janiero, Seoul,

Madrid, Cairo, Tel Aviv, Ankara, Surinam, Tamsui, Damascus,

Athens, Uknis, Geneva, Uknis, New York.

Uknis, Paris.

Cotton Textiles

1, My telegram No.

gives text of statement on

future cotton textile import policy, to be made in House

by President of Board of Trade at

on

2.

Please convey this, not before

on,

to Government to which you are accredited.

3. The proposal to abolish the quotas as from 1st

January, 1972 should be very welcome to the non-Commonwealth

countries, who will show benefit from the fact that the

margin of preference for the Commonwealth will be very

small.

Where appropriate you will

emphasise

significance of the proposal (1) in the context of the dis-

cussions due to start in September on the future of the

G.A

.T.T.

and (2) as a counter to the American proposal to extend the

L.J.A. to non-cotton textiles. We shall want to extend the

quotas for another year, after which we are prepared to rely

on a moderate tariff for protection.

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