CONFIDENTIAL
P/A D
GR 575 IMMEDIATE
CYPHER CAT A
FM FCO 291602Z
CONFIDENTIAL
FRAME FILES
*
123
820 IN
REC. 61
2 6 JUL1977
01
HKK 121/610/
TO IMMEDIATE PARIS TELNO 500 OF 20 JULY AND TO UKREP BRUSSELS INFO IMMEDIATE UKMIS GENEVA ROUTINE OTHER EEC POSTS, WASHINGTON TOKYO.
TEXTILES: RENEWAL OF THE MFA
1. COMMISSIONER DAVIGNON CALLED ON MR DELL ON 19 JULY TO EXPLAIN THE LATEST SITUATION. DAVIGNON STRESSED THE FOLLOWING POINTS : (A)
THE COMMUNITY WOULD NOT BE COMMITTED TO RENEWAL OF THE MFA UNLESS A SIGNIFICANT NUMBER OF BILATERAL AGREEMENTS HAD BEEN SATISFACTORILY CONCLUDED FULFILLING ALL THE OBJECTIVES IN THE MANDATE, BY THE END OF THE YEAR. HE RECOGNISED THAT PARAGRAPH 8 OF THE TEXT IN UKREP BRUSSELS TELMO 4691 WAS NOT CLEAR ENOUGH. HE HAD SUGGESTED A CHANGE TO MAKE THE POINT CLEARER (UKREP BRUSSELS HAVE NOW OBTAINED THE TEXTUAL CHANGES FROM DAVIGNON'S CABINET AND IT HAS BEEN RETAILED TO MEMBER STATES IN GENEVA).
(B)
PARAGRAPH 5 OF THE TEXT MADE IT CLEAR THAT THE COMMUNITY WOULD RECEIVE QUOTE THE GOODWILL AND INTENTIONS OF FLEXIBILITY OF SOME MAJOR EXPORTING PARTICIPANTS UNQUOTE IN THE BILATERAL NEGOTIATIONS. THE COMMUNITY WOULD ANNEX ITS OPENING STATEMENT TO THE GATT TEXTILES COMMITTEE IN GENEVA TO THIS TEXT, THUS MAKING SURE THAT ITS INTENTIONS WERE FULLY UNDERSTOOD, IT WAS IMPORTANT TO AVOID THE COMMUNITY'S STATEMENT BEING COUNTERED BY TOO MANY DECLARATIONS
FROM OTHER PARTICIPANTS IN THE TEXTILE COMMITTEE,
(C)
PARAGRAPH 5 ALSO MADE IT CLEAR THAT THE COMMUNITY WOULD BE
ENTITLED TO DEPART FROM THE RULES OF THE MFA IN NEGOTIATING ITS BILATERAL AGREEMENTS, IT WAS UNDERSTOOD THAT THE EXPORTERS WOULD NOT OBTAIN SATISFACTION FROM THE TEXTILES SURVEILLANCE BODY IF THEY
COMPLAINED ABOUT SUCH DEPARTURES.
CONFIDENTIAL
/ (D) ARE COMMISSTON