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CONFIDENTIAL

Mr. Goodstadt: You referred to discussions over the constitutional position of the United Kingdom and Hong Kong as one of the issues on which you had discussions while you were here. I wonder if you could spell out exactly what you meant by this rather cryptic remark?

Mr. Stewart: Not in too much detail, because you will appreciate some of the discussions I had here were entirely confidential in character. But it is well known-it is hardly a secret-that there are sometimes problems that arise, particularly problems of trade, between Britain and Hong Kong. Now, constitutionally Hong Kong of course is a dependency. It is not an independent member of the Commonwealth as are some other States with less population and wealth than Hong Kong. On the other hand, there are a number of matters on which no British Government ought to reach a decision without the very fullest consideration of Hong Kong opinion and Hong Kong interest. That is basically what I meant by that phrase.

Mr. Goodstadt: Could you explain, please could you give some example of what these kind of matters might be?

Mr. Stewart: Well, I mentioned in particular commercial matters.

Mr. Strauss: Does that mean that you would be willing to accept a representative who was elected, who would give you advice in Britain?

Mr. Stewart: No, I would not be as definite as that by any means.

Mr. Strauss: You did say an expression of Hong Kong's opinion? Do you mean an expression of the opinion of the people of Hong Kong?

Mr. Stewart: Yes. Are you asking about the question of elected members in Hong Kong? Of some change in Hong Kong's Constitution?

Mr. Strauss: Sir, your statement seems to indicate there is to be some voice

for Hong Kong in Britain in so far as trade is concerned.

Mr. Stewart: Well, you must remember, one of the jobs of my Department is to keep itself informed of the wishes and interests of all our dependent territories, Hong Kong not the least.

Mr. Joseph Ma (UPI): Earlier, you mentioned that you came here to learn of Hong Kong's hopes. What hopes of Hong Kong did you learn while here?

Mr. Stewart: I learned something about the progress you are making in social problems, the hopes you have of improving methods of transport, and of the growth of your economy.

Mr. Ma: What about constitutionally?

Mr. Stewart: That is surely a very different question. I would not want to comment here about constitutional changes inside the Colony.

Mr. Rajagopal: It has been recently said by Mr. Abba Eban of Israel that this should be an area of disengagement by the Super Powers, the big Powers. I should imagine this would largely apply to a region like Indo-China where the big Powers have been involved often. Would you indicate the possibility of the Soviet Union and Britain really coming out with an attractive initiative which would also be agreed upon by the parties concerned in South Viet-Nam, North Viet-Nam, Cambodia and Laos and restore at least a fragile peace like in 1954?

Mr. Stewart: I would not rule this out, but I see very great difficulties in the way. We have, for example, on many occasions during the Viet-Nam war asked the Soviet Government if they would join with us in reconvening the Geneva conference, unfortunately, without success. I do not lose hope over this. It does seem extremely difficult.

CONFIDENTIAL

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