CONFIDENTIAL

Portugal in any way she could from her own experience of

accession to, and involvement with, the Community.

Portugal

could rely on Britain's support; we would drive a hard bargain in

the negotiations, particularly over access for textiles and to

fishing grounds, but in the last analysis Britain was prepared to

pay the price of Portuguese entry, which she considered was

manageable.

Spain was

14. Dr Sa Machado replied that he thought Portugal would not have

many problems; the accession process was going according to

Portuguese interests. Fortugal did not pose big problems to the

Community: the Community posed more to Portugal.

different and posed greater difficulties, which was why Portugal

resisted globalisation. The production of the Commission's

Opinion, its acceptance by the Council of Ministers and the

prospect of opening negotiations in October were important from

the internal Portuguese angle in order to show the people

that progress towards the EEC was taking place. On the

transitional period his government was flexible; in Portugal's

orn interests it ought not to be too short, since there was need

for considerable adjustment. The approach to Europe offered a

new national project to compensate for the loss of empire and to

give both material and psychological boosts, just as it had been

in Britain's case. Mr Judd said that it was not only the British

Government which supported enlargement but broad support had been

very evident in the recent debate in the House.

CONFIDENTIAL

/15.

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