CONFIDENTIAL
ARE THEREFORE COING TO FIND IT VERY DIFFICULT TO UNDERSTAND WHY YOU HAVE DECIDED TO CONCENTRATE THE SUBSTANTIVE
SHALL
DEMAND FOR A CHANGE ON THE ANNUAL REVIEW NEXT YEAR AND WE NEED TO BE ABLE TO EXPLAIN WHY. IT WILL NOT BE ENOUGH TO SAY THAT IT IS NOW TOO LATE.
I THINK IT WOULD BE DANGEROUS TO PUT ANYTHING OUT UNATTRIB- UTABLY BECAUSE AS YOU SUGGEST IT WOULD RAISE FALSE HOPES.
IF WE ARE TO BRIEF THE PRESS AFTER THE COUNCIL MEETING WE SHALL NEED TO BE FULLY INFORMED ABOUT THE IMPROVEMENTS THAT YOU HAVE REEN ABLE TO GET, AND I SHOULD ADD THAT UNLESS THEY CAN BE CLEARLY. SHOWN TO BENEFIT HONG KONG I THINK IT WOULD BE COUNTER-
PRODUCTIVE TO LAY TOO MUCH WEIGHT ON THEM.
ATTENTION HERE
IS FOCUSSED ON TEXTILES AND FOOTWEAR, AND THERE IS OF COURSE HERE AS ELSEWHERE A LOT OF SCEPTICISM ABOUT THE BENEFITS TO EXPORTING COUNTRIES UNDER THE TARIFF-QUOTA--AND -PUTOIR SYSTEM. THE COMMERCIAL BENEFITS GO TO THE IMPORTER RATHER THAN THE EXPORTER. IT MAY SEEM TO THE COMMUNITY UNREASONABLE AND INDEED UNGRATEFUL BUT THE FACT OF THE MATTER IS THAT INCLUS OR IN SUCH A SCHEME IS BELIEVED TO CONFER LITTLE BENEFIT - BUT EXCLUSION CAN DE POSITIVELY
DAMAGING.
FROM OUR POINT OF VIEW IT IS IMPORTANT THAT THE NOMAL ANNOUNCEMENT SHOULD COME FROM HMG AND THAT THIS SHOULD SHOW THAT HNG HAS PRESSED OUR CASE STRONGLY. THEREAFTER, IF YOU WILL GIVE US ALL THE FACTS WE WILL DO OUR BEST TO PRESENT THEM IN AS FAVOURABLE A LIGHT AS WE CAN (WE CAN'T AFFORD TO OVERDO THIS OR WE WILL DAMAGE OUR CREDIBILITY WITH PEOPLE HERE).
CLEARLY, HNG'S CREDIBILITY WILL DEPEND VERY MUCH ON WHAT THE PRIME MINISTER HAS TO SAY WHEN HE IS HERE AND HE WILL BE CLOSELY
!
QUESTIONED ON THIS SUBJECT.
IT WOULD CERTAINLY HELP US TO UNDERSTAND IF YOU COULD EXPLAIN WHY THE LINE PROPOSED IN HONG KONG TELMO 282 TO THE HONG KONG COMMISSIONER (WHICH I ENDORSED IN MY TELMO 1865) WAS REJECTED,
2. CONFIDENTIAL
/ YOU WILL