a

It is true that we have a definite EEC obligation

to end the restrictions on 31 December, and phasing

out over a period will require a further

derogation.

Our proposal accords with the provisions for existing restraints which we think should be included in the new GATT agreement. As such, the question of cotton yarn could provide a model and be used positively to gain our partners' agreement on this important aspect of future Community policy

on textiles.

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