3.

The figures show that there is no en ee under the LA for restricting the two cotton items: and there is ne case under Artiale XIX for restricting polyester/ootton shirts unless, even though production has trebled in two yearü, the Swedish share of the domestic market has dropped from 30 to 25 per cent, Swedish imparts of woven sotton shirts fell in spite of a substantial increase in imports from Portugal and, to a lesser extent, Finland, Imports of knitted cotton shirts almost trebled, the biggest ingrosse from Finland, shooe prices were lower than those of Hong Kong.

The real trouble was the market fær mary-knitted mylem shirts. Con.sumptiom full dramationlly, as did exporta. Imports flooded in fren Yugoslavia and Portugal in 1968, only to be overtaken by Italy in 1969. Pinland has also developed a substantial trade. Very little of the trouble was eensed by Hong Kong: har tænde in 1969 almost certainly included knitted polyester/settum shirts as well as warp knitted nylon, though the latest figures indiosta that Hong Kong exports to Sweden are rising fast.

Conclusion. The only justifiontion for restricting imports of polyester/inthen Thirts from Hong Kong was to emble the Swedish industry to get out of marg== kaitied gyles inte other kinds of shirts. This suited Hong Kong because the Svodas mid they would take action to limit imperts of shirts from Portugal, This is not only contrary to KPTA, but many of the shirts are made from British cloth they east twice as much as Hong Kong shirts. Moreover, it is quite alear that the restrictions are benefitting Italy, Finland and Dermark - nearly half the increase in imports of all kinds of shirts between 1968 and 1969 aume from these three sountries.

Trousses

1.

The restraint on imports of sotton trousers was made in brauch of Article ↳ of the IFA as the following figures clearly demonstrate:**

1968

1967

1962

Productio

2733

2345

2502

Exports

245

332

662

Imports

264

4015

52

Supply

5432

6028

7041

of widok

U.S.A.

626

1534

1737

1458

1378

1344

Belgium

Portugal

છુ કે

$12

604

711

30

630

Finland

33

339

France

6

97

2.

The Swedes have applied no other figures, but the Swediak javorį statisties show that imparts of vores a.n.f. trousers, mostly dimontinuous gywineties,

meve ter lontano d

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