CO PFIDENTIAL
TEXTILE IMPORT POLICY
DRAFT AIDE MEMOIRE TO GOVERNMENTS OF RESTRICT.D COUNTIRES
As
Government will be aware the British
Government announced in July 1969 that on 1 January
1972 a tariff would be introduced for cotton textiles
imported from the Commonwealth Preference Arca. The
Government also announced their intention at the sanc
time of ending the existing quantitative restrictions,
applying to a number of Commonwealth and non-Commonwealth
countries, on cotton textile imports and of using quotas
under the GATT Long Term Arrangement if. total imports
rose above present levels and if imports of particular
products caused disruption. It was made clear that
these decisions would be subject to any modifications
required if we jointed the EEC.
2. It remains the British Government's intention to introduce
the new tariff.
3. In several respects, however, the textile situation has
developed rather differently than coomed likely in 1909.
4. In the first place HMG have decided, after consultation
with the European Community, that it would be inappropriate
to seek a derogation from application to the UK fr cm
1 January 1973 of the restraint agreements on cotton
textile imports which the Community has with a number of
exporting countries. This means that if the present
quantitative restrictions were ended next January, the UK
would have, as Community members, to reimpose a considerable
range of restrictions only a year later. HMG believe that.
the market would suffer substantial dislocation during the
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