146
CONFIDENTIAL
HONG KONG TELEGRAM NO.421 TO FCO.
-3
WOULD BE IMPOSSIBLE TO HAVE MEANINGFUL NEGOTIATIONS ON CATEG -
ORISATION.
5. I SHOULD BE GRATEFUL IF YOU COULD NOW CONSIDER INTERCEDING
WITH THE COMMISSION AT AN APPROPRIATE LEVEL TO EXPRESS CONCERN
THAT IN THEIR APPROACH TO HONG KONG DUE REGARD IS NOT
BEING PAID TO THE PROVISIONS OF THE CT A. WE ARE NOT SUGGESTING (AS IS IMPLIED IN PARA. 2 OF UKMIS GENEVA TELEGRAM 25 TO ME)
THAT WE ARE REQUIRING THE E E C TO FORETELL THE CUTCOME BEFORE
NEGOTIATIONS HAVE STARTED. NOR ARE WE REFUSING TO NEGOTIATE
OR BEING UNDULY DOCTRINAIRE. BUT WE HAVE TOO MUCH AT STAKE.
IN THE E E C AND ELSEWHERE, AND IN COTTONS AS WELL AS OTHER TRADE,
WILLINGLY TO SHORTCUT THE ARRANGEMENTS OF THE C T A. THE E E C
CANNOT SIMPLY ASSUME COMPREHENSIVE RESTRAINT WILL BE CONCEDED
ON ALL COTTON TEXTILES WITHOUT JUSTIFYING THEIR REQUEST.
CONCESSION OF RESTRAINT ON BAD CRITERIA WOULD ACT
ANY
AS A MOST UNFORTUNATE PRECEDENT, PARTICULARLY IN RELATION TO
CURRENT U.S. REQUESTS FOR COMPREHENSIVE RESTRAINTS ON NON-COTTONS
TO WHICH THE E. E C ARE OPENLY OPPOSED.
6.
I APPRECIATE THAT WE MAY RUN THE RISK OF ANTAGONISING THE
COMMISSION. SET AGAINST THIS, HOWEVER, IS THE DANGER OF ACQUIES-
CENCE RESULTING IN DAMAGING PRECEDENTS. IN MY VIEW THE LATTER
OUTWEIGHS THE FORMER AT THIS FORMATIVE STAGE OF THE COMMON
COMMERCIAL POLICY.
( F C O PLS PASS TO ALL)''
SIR D TRENCH
[REPEATED AS REQUESTED]
INTERNATIONAL TRADE DISTRIBUTION
COMMODITIES DEPT.
H.K.DEPT.
F.EAST. DEPT.
AMER DEPT.
CONFIDENTIAL
ADDITIONAL DISTRIBUTION HONG KONG INTERNATIONAL TRA DE
COPIES TO:
MR. NICOLL B.O.T.
MR. GREGORY MINTECH VICTORIA ST.
MR. DUNNETT B.O.T.