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TO IMMEDIATE UKREP BRUSSELS TEL NO 2276 OF 6 DECEMBER
INFO IMMEDIATE UKMIS GENEVA.
TEXTILES: PREPARATION FOR DECEMBER FOREIGN AFFAIRS COUNCIL.
1. THE DECEMBER COUNCIL WILL HAVE TO TAKE A NUMBER OF IMPORTANT DECISIONS, WHICH WILL BE BASED ON A PAPER THE COMMISSION WILL BE TAKING ON 7 DECEMBER. TIME WILL BE SHORT THEREAFTER FOR UK MINISTERS TO FINALISE THEIR POSITION BEFORE 19 DECEMBER.
2. WE CANNOT BE SURE WHAT EXACTLY WILL BE NECESSARY UNTIL WE HAVE SEEN THE COMMISSION PROPOSALS BUT, BASED ON OUR INFORMATION SO FAR, UK MINISTERS' MAJOR CONCERNS, ON WHICH THEY ARE LIKELY TO BASE THEIR FINAL DECISIONS, ARE LIKELY TO FALL INTO THE FOLLOWING AREAS:
(1)
MAINTENANCE OF THE GLOBAL CEILINGS FOR GROUP I PRODUCTS. IT APPEARS THAT MEMBER STATES WILL BE ASKED TO PAY A PRICE ABOVE THE GLOBAL CEILINGS FOR GROUP PRODUCTS, LARGELY IN COTTON YARN AND COTTON CLOTH, IN ORDER TO REACH AGREEMENT WITH INDIA PAKISTAN, EGYPT AND BRAZIL. WE SHALL NEED TO KNOW EARLY ON WHAT THE QUANTITIES WILL BE FOR THE UK. UK MINISTERS HAVE STRESSED. OUR CONCERN FOR THE MAINTENANCE OF THESE GLOBAL
CEILINGS.
(11) WE SHALL NEED TO KNOW WHAT SHARE THE UK WILL TAKE OF PRODUCTS
OUTSIDE GROUP I, IN THOSE AGREEMENTS ALREADY REACHED.
(111) WE SHALL WANT TO CONSIDER CAREFULLY THE MECHANISM WHICH THE
COMMISSION PROPOSE FOR DEALING WITH HITHERTO UNRESTRAINED SUPPLIERS WHEN THEY ATTAIN A SHARE OF THE COMMUNITY OR REGIONAL MARKET WHICH MAKES RESTRAINT NECESSARY. UK MINISTERS WILL BE LOOKING FOR SPECIFIC AND EFFECTIVE PROPOSALS.
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/ 3. GRATEFUL