3.

4

"CONFIDENTIAL

TEXTILE IMPORT POLICY

DRAFT PASSAGE FOR INCLUSION IN MINISTER'S

SPEECH FOR THE AFFIRMATIVE RESOLUTION

DEBATE

The decision to introduce a tariff on

the

कृ

cotton textiles imported from Commonwealth

Preference Area was announced by the then

President of the Board ofTrade on 22 July

1969 and endorsed by this Government

after taking office. It followed a

by

recommendation which the industry's own

two-

Textile Council, after a 2 year Productivity

and Efficiency Study, that the tariff would

offer a margin of protection that wąs

stable and predictable and would enable

the industry to plan ahead with confidence.

It was made clear that the decision would

be subject to any modifications required

if we joined the EEC. The Government also

indicated that, although it was the

intention to terminate the general quota

system when the tariff came into effect,

the use of quotas would be considered

under the Long Term Arrangement of the GATT

if total imports rose above present levels

/and if

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