(to Hong Kong)
The quotas for Hong Kong in 1972 will be the present quotas for 1971 increased by 1%. We
We can only agree to discussions with Hong Kong on the continuation of quotas if they can be held in London during December. We cannot hold out any prospect of change in the new tariff treatment of cotton textiles from Hong Kong. We believe that Hong Kong may derive some advantage from the continuance of her present large bilateral quotas as compared with her major Asian competitors. A major factor in our decision to retain existing quotas rather than imposing new restrictions has been our desire as far as possible to preserve the access to our market enjoyed by our traditional suppliers.
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