3
Modalities of the transition
1. Total UK imports (retained) from restricted sources in 1972 amounted to 8,972 metric tonnes or 19.7 million lbs, of which the major restricted suppliers India, Pakistan, Hong Kong and Egypt together supplied some 7,672 metric tonnes or 16.9 million lbs. The balance of 1300 metric tonnes (2.8 million lbs) was supplied by all other countries including the Mediterraneans who were then cul joct to quantitative restraint.
2.
This gives us a ratio of 85:15 for the "big 4" against the minor suppliers. Within the "big 4" total, the proport- ionato usage for each country in 1972 was as follows: '
India
47.83%
Hong Kong 33.29
Pakistan
15.54%
Egypt
·3.33%
100.00
3.
Because of the fact that an inaccurate figure has been incorporated in the EEC Regulation authorising the UK to retain yarn quotas until 31 December 1973, we shall be expressing our plan in teras of percentage increases on the annual figure of 17,000 metric tonnes (37.5 million lbs) instead of actual performance 1972 of approx 9,000 metric tonnes (19.7 m lbs).
It.
What we propose is to phase out restrictions by increasin then from this national base of 17,000 in steps of a 10 increase for 1974, 25% increase in 1975 and 50% increase for 1976. The increase in each year would be divided between suppliers on the ratio of 85:15 (see para 2), and allocated as follows
8.)
Additional quota for India, Hong Kong, Pakistan
and Egypt to be added to their present (1973) level in proportion to their performance in 1972 and