CONFIDENTIAL
B. MULTI-FIBRE ARRANGEMENT.
13. THE CURRENT ROUND OF NEGOTIATIONS IN THE GATT TEXTILES COMMITTEE
IN GENEVA FOR THE RENEWAL OF THE MFA BROKE DOWN AT A MEETING OF
THE FULL TEXTILES COMMITTEE ON SUNDAY, 24 JULY. DISCUSSION IN
GENEVA CONCENTRATED ON A DRAFT TEXT FOR ITS CONCLUSIONS. THE
COMMISSION HAD PRODUCED A TEXT IN CONSULTATION WITH THE U.S. AND
THE JAPANESE, HOPING THIS WOULD HAVE ENABLED THE COMMUNITY TO
NECOTIATE THE SERIES OF BILATERAL TEXTILE AGREEMENTS WITH THE MAIN
OPPLIERS (WHICH WILL HAVE TO BEGIN IN THE AUTUMN) WITH THE HOPE
OF REASONABLE FLEXIBILITY AND GOODWILL FROM THE MAIN EXPORTING
COUNTRIES. THEY ALSO BELIEVED THE TEXT THEY WERE SUPPORTING WOULD
HAVE ENABLED THE COMMUNITY TO REMAIN UNCOMMITTED TO RENEWAL OF
THE PRESENT NFA UNTIL IT WAS SATISFIED THAT ITS OBJECTIVES HAD BEEN
FULLY ACHIEVED IN THE BILATERAL NEGOTIATIONS,
14. COMMISSIONER DAVIGNON CAME TO LONDON ON 19 JULY TO EXPLAIN
THE SITUATION TO MR DELL AND REASSURE HIM THAT THE COMMISSION
APPROACH WOULD HAVE ENABLED THE COMMUNITY TO ACHIEVE THE OBJECTIVES-
SET OUT IN ITS MANDATE. THE OBJECTIVES INVOLVE KEEPING THE TOTALLITY OF IMPORTS FOR CERTAIN SENSITIVE PRODUCTS (8.E. THE SUM OF
THE QUOTAS AGREED IN THE BILATERAL AGREEMENTS) WITHIN INTERNAL GLOBAL IMPORT CEILINGS WHICH THE COMMUNITY IS HOW DRAVING UP. THERE
ARE ALSO OTHER PROVISIONS IN THE COMMUNITY'S MANDATE, THE MOST
IMPORTANT OF WHICH IS THE ABILITY TO REDUCE THE REQUIRED
6. PERCENT ANNUAL GROWTH RATE IN THE PRESENT MEA IN THE CASE OF CERTAIN SENSITIVE IMPORTS.
15, MR DELL MINUTED TO THE PRIME MINISTER AND RD COLLEAGUES
SUGGESTING THE UK APPROVE THE COMMISSION'S APPROACH SUBJECT TO THE MAJOR CONDITION IN PARA 8 ABOVE. ALL MINISTERS CONCERNED, INCLUDING THE SECRETARY OF STATE AND THE PRIME MINISTER, INDICATED THEIR AGREEMENT.
16. THE COMMISSION PRODUCED A FINAL VERSION OF THE TEXT AT A SPECIAL MEETING OF COREPER ON SUNDAY MORNING, 24 JULY AND INFORMED MEMBER STATES THAT THEY WOULD BE QUOTE TAKING THEIR RESPONSIBILITIES UNQUOTE IN ACCEPTING THE TEXT ON BEHALF OF THE
COMMUNITY AT THE MEETING OF THE GATT. TEXTILES COMMITTEE ON
THE AFTERNOON OF 24 JULY, THE FRENCH INDICATED STRONG
DISAPPROVAL OF THE TEXT AS IT THEN STOOD (M BARRE HAD DECIDED
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/ IT
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