would lead to, with consequent "bunching" of supplies towards

the end of the year, and pressure from the industry in

Britain to extend the quotas as a result, I recommend that

the Secretary of State send to the Chancellor of the Exchequer

a letter on the lines of the attached draft; Hong Kong and

South Asian Departments agree with this draft and the

recommendation.

27 April 1971

сс

Mr Wilford

Mr Laird (Hong Kong Dept.)

Mr Sutherland (SAD)

Mr Bottomley

ME Heath

Commodities Department

CONFIDLIAKAL

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