f
country, when many developing countries at a much higher stage of development will be included. As has been stated above, HMG are aware of no legitimate grounds why such territories should be excluded in principle. They are unlikely to be in a position to export many eligible products to Japan. But if they wish to export any and to claim the benefit of the Japanese preferences scheme they will of course have to satisfy Japan's requirements as to origin and certification in the same way as other beneficiaries. But there are no grounds why the opportunity
to export goods to Japan within the preferences scheme should be denied to these territories merely because many
of them have little or no current trade to Japan. In the
case of certain of the territories in the Pacific area exclusion from Japan's scheme would be likely to deter new investment that might enable them to diversify their
economies.
9. IIMG trust accordingly that the Japanese Government will give favourable consideration to the inclusion in principle in their Generalised Preference Scheme to all the UK dependent territories, as well as the West Indies Associated States and other countries for whose international.
relations or the conduct thereof HMG are responsible. It 'is understood that any such decision would be subject to the proviso that these territories and countries satisfy Japanese requirements with regard to their ability to extend approp- riate certificates of origin
10. A favourable Japanese decision on this matter would be
in accordance with the position taken by other major donors in the OECD, where the USA, members of the EEC (and also Australia) have put forward the claims to beneficiary status of their dependencies. The UK, like the other donors mentioned, will also be prepared to grant preferences to
/dependencies