(118281) Dd. 391599 1,500M 2/69 Hw.

NOTHING TO BE WRITTEN IN THIS MARGIN

Registry

No. HKK 6/548/1

SECURITY CLASSIFICATION

Top Secret.

Secret.

Confidential.

Restricted.

Unclassified.

PRIVACY MARKING

Flag A

Flag B

(a) on page

76 on file.

In Confidence

DRAFT Minute

Type 1 +

will Co

To:-

Mr. Wilford

From

Mr. Carter

Telephone No. & Ext.

Department

Hong Kong/UK Wide Sheeting and Sheets Agreement

1968

As you are aware the Hong Kong Government and the

Board of Trade are in dispute over an important detail

of this agreement, that relating to growth rate, the

growth factor which should apply in succeeding years to

the previous year's export level. Hong Kong's case was

first put in a letter from Mr. Moreton to Mr. Carey,

who

it Mr Carey turned Hong Kong's case down. But I believe

you were inclined to make another attempt to convince

him of the justice of Hong Kong's case.

However, in

two important respects matters are now different and

we need to reconsider what action to take.

LO

bizz then with

-

and of

ourse

(a) This issue has tended to revolve around the

personality of Mr. S. Stewart who was, of course, when

he negotiated the agreement, in the Industries Division

of the Board of Trade. Mr. Stewart

Mr. Carey are now both in the Ministry of Technology.

But the Board of Trade remain responsible so far as we

know for the negotiation and administration of trade

agreements with overseas countries although it is un-

thinkable that they should reach any new conclusion

about this particular agreement without consulting the

Ministry of Technology.

(b) In the event the rate of Hong Kong exports to the

of UK in the relevant categories has been surprisingly

sluggish.

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