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The Minister for Trade
DEPARTMENT OF TRADE AND INDUSTRY
1 VICTORIA STREET
The Rt Hon Anthony Barber TD MP Chancellor of the Exchequer
HM Treasury
Great George Street
London SW1
LA
11
LONDON SW 1
01-222 7877
May 1971
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I have seen Alec Douglas-Home's-minute of 4 May about the need so give temporary relief from import duty on cotton textiles to developing countries in the Commonwealth preference area as proposed in my letter to you of 5 April. I strongly agree with what he says and very much hope that you will feel able on re- consideration to accept my request that the necessary clause should be included in the Finance Bill.
The reasons why I think this important were set out in my earlier letter and I need not repeat them. I need only add that the talks which we are having with the Indians about the waiver of their rights which we need to enable the duty to be imposed are proving extremely difficult because of the political problems which our request presents for them. This makes it all the more important to find a way of smoothing out the trade flows, during the difficult transition period at the beginning of next year, which will appear sensible and advantageous to our overseas suppliers as well as to our domestic industry. Without the power
am asking you for, we could not avoid a messy transition.
I am sending a copy of this letter to Alec Douglas-Home.