HKK 121/616/1

D M March Esq OBE

CONFIDENTI AL

10 October 1977

5. One of the Governor's primary purposes in coming to London was, of course, to convince public opinion in Hong Kong that he was doing his best for local interests and this, to judge from the reports we have had of Hong Kong press reaction, he certainly achieved. Whether his visit will have changed British or EEC policies is a different matter. But, it has already been agreed that there should be some increases in the quotas that were originally proposed for Hong Kong for trade in certain of the most sensitive items, though I fear that the figures will still be below the 1976 levels. Certainly the visit helped to create a better understanding here of Hong Kong's problems. At the time of writing this

discussions are still going on in Brussels over the mandate for the bilateral negotiations with the Hong Kong delegation, which are due to open in Brussels today.

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CONFIDENTI AL

JAB Stewart

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