Long Term Arrangement of the GATT (LTA) and only if

total imports of cotton textiles rose significantly

above the present level and caused disruption to the

market in those particular products".

Gnty As

recently as 11 October in response to representations

!

by the BTEA, Sir John Eden reaffirmed the position

saying that "if evidence was produced after the new

import regime had come into effect that real damage

was being done, whether to the industry as a whole

or to some significant part of it, the Government

would certainly consider what could be done to

remedy the situation.

Thus

9.

What/the ar

"

praporals

have validity one in am

at the DTI and now attempting to do - In

defarenee te pressure from Lancashire IS to argu£unt

alie by

+

that we are in a situation justifying reimposition

but this cannot be in that of quotas under the Crorland formula,

formula, Built to Aj Bhaa

to be olearly and convincingly argued

Line

Crosland

formula was clearly intended for a period after

there had been time to see how the tariff would work.

art from unemployment,

Mine

10. The lynchpin of the DTI case is that it could

well become known in the Affirmative debate that we

would not be seeking a derogation from the EEC's

increased Article 4 Agreements and this lead to a flood

of low cost imports in 1972. But it is well known

that the EEC has operated a system of qrs and tariffs

Малаврые

and/our' not seeking a derogation cannot be said to

be a new factor. 1973 quotas will have to be

negotiated in 4972 and would have to be based on

most-recent figures, ie, 1968, 1974 or some average

level must apply And the costs of building up

out.

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