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DH Jordan Esq MBE JP

Director of Commerce and Industry

Colonial Secretariat

HONG KONG

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Our reference

Date

26 July 1974

Dear David,

MEMORANDUM ON THE EEC GSP

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When I was in Hong Kong we discussed whether we had perhaps missed a trick by not insisting that our Embassies in the Nine present your Memorandum on Hong Kong and the GSP. You made the valid

point that you had to be able to show people in Hong Kong that HMG was genuinely trying to eliminate discrimination. Subsequently you sent me your letter of 9 July to underline your reasons for this view.

2.

I have pondered on this since my return and have discussed it with the people responsible here. But in fact I think our conversation has been overtaken by the success of the joint operation whereby your people and senior members of our Embassies have presented the Memorandum together. It is plain from the reports that we have received that the exercise has been educative for all concerned; has been a good and usable example of direct cooperation between Hong Kong and British officials in Europe; has on occasion (see for example para. 4 of Rome telegram no. 425) been more effective than if the Memorandum had been presented by the UK officials alone; and has set a useful precedent for the future.

3.

I had a word with the Governor about this during his present visit and we agreed that, from the point of view both of Hong, Kong and the UK, the exercise had probably gone as well as could be expected. I hope that you agree with this and will be able to use the positive aspects of our cooperation in removing suspicions about our lack of help for Hong Kong.

It.

Incidentally, as I told you, I was rather surprised to find that UMELCO knew nothing of the Commission's proposals for removing discrimination against Hong Kong's footwear exports. Of course the timing of any revelations must be left to you; but I hope that they will not be left too long under the impression that nothing has happened.

Yours over,

Androw

A C Stuart

Hong Kong & Indian Ocean Dept.

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