- 2 -
items in strong demand that the quota limits have been of
any significance at all and indications are that this will
remain the case for the rest of this year.
The Hong Kong textile industry has learned to live
with restraints.
One might almost say it grew up with them,
for they now have a history of nearly twenty years. Since
1960, the majority of trading nations have recognised formally
that special problems attach to world trade in textiles which
call for special solutions solutions recognised as not
being applicable to other areas of trade. That is, I suggest,
a most important qualification and one we should not lose
sight of.
It might very reasonably be asked, why, in the
middle of 1977, there should be an apparently mounting tide
of restrictions and a regression from the principles of
progressive liberalisation. Why, indeed, at a time when
over 60 per cent of the textile exports of Hong Kong
(or about 30 per cent of our total domestic exports) are
subject to restraint should there be threats, and even
actions, on the part of some of our major trading partners
to curtail or actually cut back on the export opportunities
of the industry on which so much of this community's'
livelihood depends?
We in Hong Kong never have and never will deny
that adjustments in the textiles sector in our main markets
can present social, economic and political problems.. We
have an excellent track record of co-operation in moderating
the rate of our textile exports where they have been shown,
in terms of the internationally agreed ground rules, to have
been causing or threatening market disruption.
We count
/it