CONFIDENTIAL
OECD MINISTERIAL COUNCIL MEETING, PARIS
7-8 JUNE 1971
AGENDA ITEM 3 (a)
SUPPLEMENTARY BRIEF
ON GENERALISED PREFERENCES
177
1
The debate on this item is likely to be concerned only with calling for the early implementation of the schemes - especially by the United States - and with the pleas of the four developing members that they should not be excluded. It would not be appropriate for these issues to be further confused with other problems of concern to us, such as the United States condition on reverse preferences and the problem of Hong Kong and other dependencies, although these have an important bearing on the problem of beneficiaries. But it is a good opportunity to raise these questions privately with the American Delegation and if time is available to speak to the Japanese and some others about Hong Kong and our other dependencies.
2 If possible it would be desirable for the Minister of Trade to raise these questions with Mr Rogers. They are however not covered in the main brief and you will wish to consider whether
· to ask him to do so. You may also wish to speak to ir Samuels and to other Delegations. Mr Gallagher may wish to take part.
3 The following paragraphs suggest what might be said to each of the other min Delegations.
UNITED STATES
Reverse Preferences
4 When Mr Samuels was in London in April he mentioned both to the Chancellor of the Duchy of Lancaster and to the Ministos for Trade that, while the United States could not drop their insistence that reverse preferences should be abolished, they might be prepared to drop the insistence on a firm undertaking before admitting any developing country to their scheme. It is clear however that there is unlikely to be any change in their insistence that the reverse preferences themselves must be abolished by 1975 but there are signs that within the State Department there is some willingness to be flexible about what the developing countries should do in order to benefit from the United States scheme at the start. We understand that the Agencies in Washington are considering this problem and that, although they now appreciate better the problem they have created for the Commonwealth Caribbean and some other countries, there is no agreement yet on what recommendation to put to the President.
ster – la ste vrstigt matar.