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4. DAVIGNON WAS UNABLE TO RESPOND IMMEDIATELY TO MR DELL'S QUESTI ABOUT GROWTH ON COTTON YARN FOR THE UK AFTER 1978. MR DELL REMINDED HIM AGAIN ABOUT THE LUXEMBOURG ASSURANCES (IE ZERO GROWTH). THIS SHOULD ALLOW THE UK TO STABILISE IMPORTS FROM 1973 ONWARDS.
DAVIGNON PROMISED AN ANSWER BY 9 15 ON 15 DECEMBER.
ACTION AGAINST NON-AGREEMENT COUNTRIES
5. MR DELL ASKED FOR MORE SPECIFIC ASSURANCES ABOUT THE COMMISSION'S INTENTION TO ACT AGAINST THREATS OF DISRUPTION FROM THESE COUNTRIES. THE UK ATTACHED IMPORTANCE TO THE SAME AUTOMATIC QUOTE TRIGGER
UNQUOTE MECHANISM BEING USED AS WOULD BE EMBODIED IN THE BILATERAL
AGREEMENTS.
DAVIGNON SAID HE THOUGHT HE COULD HELP ON THIS POINT AND THAT HE
WOULD PASS HIS SUGGESTIONS TO UKREP IN THE MORNING.
SPAIN
6. DAVIGNON CONFIRMED THAT THE COMMISSION SAW NO REASON TO BE
LENIENT TOWARDS SPAIN IN THE PRESENT SITUATION, UNILATERAL MEASURES WOULD BE INTRODUCED AND HE CONFIRMED THAT THESE WOULD INCLUDE COTTON
YARN.
RENEWAL PROTOCOL
7. MR DELL REFERRED TO REPORTS THAT A PROTOCOL FOR RENEWAL OF THE MFA HAD APPEARED IN GENEVA, HE WAS PLEASED TO NOTE THE COMMISSION'S STATEMENT TO THE TEXTILES COMMITTEE THAT THERE WOULD BE NO SIGNATURE BY THE EEC BEFORE ALL THE BILATERALS HAD BEEN CONCLUDED, AND ALSO THE RESERVATIONS ABOUT THE POWERS OF THE TSB TO INTERFERE IN THE BILATE- RAL AGREEMENTS (ESPECIALLY THE OPERATION OF THE TRIGGERS). DAVIGNON CONFIRMED THESE RESERVATIONS AND SAID THAT, IF THE COUNCIL DECIDED IN FAVOUR OF RENEWAL, THE COMMUNITY WOULD NOT FINALLY SIGN THE PROTOCOL UNTIL THE BILATERALS WERE ALL CONCLUDED. HOWEVER, BECAUSE THE PRESENT KFA EXPIRED ON 31 DECEMBER, IT WOULD PROBABLY BE NECESSARY, FOR WHAT HE DESCRIBED AS QUOTE TECHNICAL REASONS UNQUOTE, FOR THE COMMUNITY TO SIGN THE PROTOCOL BEFORE THAT DATE SUBJECT TO THE CONDITION THAT THE COMMUNITY WOULD NOT BE BOUND BY THE SIGNATURE
UNTIL THE BILATERALS WERE CONCLUDED.
OWEN
FRAME EXTERNAL EID (E)
ADDITIONAL DISTN FRAME
-2-
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