CYPHER/CAT A

ROUTINE CANBERRA

TELEGRAM NUMBER 596

CONFIDENTIAL

AUSTRALIA.

TO FOREIGN AND COMMONWEALTH OFFICE 4.

19 JUNE 1969

CONFIDENTIAL

ADDRESSED TO FCO TELEGRAM NO 596 OF 19 JUNE.

YOUR TELEGRAM NO. 714 TO NEW DELHI_/ : TEXTILES

27

SIR ANTONY PART DISCUSSED BRIEFLY WITH SIR ALAN WESTERMAN IN

CANBERRA IN MAY TEXTILE COUNCIL REPORT AND POSSIBILITY OF OUR MOVING

FROM QUOTAS UNDER EXISTING IMPORT ARRANGEMENTS TO PROTECTION BY

TARIFF. SIR ALAN SAID AUSTRALIA'S DISPOSITION WAS NOT TO BE

DOCTRINAL SO LONG AS ARRANGEMENTS WHETHER QUOTA OR TARIFF WERE

EQUITABLE. HE

SAID AUSTRALIA HAD NOT USED QUOTAS FOR TEXTILES (THOUGH THEY HAVE

FOR KNITWEAR) BUT ADMITTED FREQUENT PROTECTIVE TARIFF INCREASES HAD

BEEN MADE. HE MADE THE POINT THAT THEY HAD USED SLIDING SCALE

TARIFFS GIVING MAXIMUM IMPACT ON LOW PRICED GOODS.

2. LOCAL TEXTILE INDUSTRY IS UNLIKELY TO REACT. IT HAS FREQUENTLY

SOUGHT HIGHER TARIFF PROTECTION WHICH INEVITABLY INVOLVES HIGHER

TARIFF AGAINST US AND IN ANY CASE AUSTRALIAN COTTON TEXTILE EXPORTS

TO U K SEEM MINIMAL. THE ONLY SIGNIFICANT RISK WOULD SEEM TO BE

A POSSIBLE WEAKENING OF OUR POSITION IN OPPOSING FURTHER AUSTRALIAN

TARIFF INCREASES AND A PRECEDENT, FOR WHAT ITS WORTH, FOR EROSION

OF OUR PREFERENCES HERE. SIR C. JOHNSON

FILES

COMMODITIES DEPT.

S.W.P.D.

SOUTH ASIAN DEPT

N.A.C.D.

WEST AFRICAN DEPT.

EAST AFRICAN DEPT.

SOUTHERN EUROPEAN DEPT. HONG KONG DEPT.

G.S.A.D.

XXXXX

1907

KK

26/500/0

CONFIDENTIAL

7

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