- 3-
Swiss GSP
8.
Switzerland introduced Stage 1 of its GSP on 1 March
1972. In the case of Hong Kong, South Korea and Macau, pre-
ferential treatment is not granted to goods falling within BTN
Chapters 50 to 64 i.e. all textiles and footwear products. In
a note to the Hong Kong Government, the Swiss Consul General
in Hong Kong gave the following reasons for the exclusion :
(a) the principle of burden-sharing between donor
9.
(b)
countries; and
the textile and footwear industries of Hong Kong,
South Korea and Macau appear to have reached a high
standard so that there is no further need for
preferential treatment to strengthen their competitive
position.
Switzerland introduced Stage 2 of its GSP on 1 April
1974, and apart from maintaining the discrimination against
Hong Kong in textiles and footwear, have introduced further,
discrimination against Hong Kong in umbrellas and sunshades,
primary cells and batteries, and clocks and watches.
10.
As indicated in enclosure 2, Hong Kong exports of
footwear to Switzerland also showed increases between 1970 and
1972 but there was a sharp drop in 1973, again the full year of
GSP, when Hong Kong exports declined by 39.9% in value and 43%
in quantity.
:
Austria GSP
11.
!
Austria introduced its GSP on 1 April 1972. Hong Kong
is the only beneficiary in the Austrian scheme which is dis- criminated against in non-cotton textiles and all footwear items.
/According