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RECEIVED AKTY NO. 51
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78 Tekan
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For the Commission, Hormand added ad
Jun 4/9:
xtra item to the Agenda Meafterrancan Textiles in response to urgent UK requests for action and problems indicated by France, Germany and Benelux.
A.
Handloom Pakistan (also India-Folklore)
1. Mme. Le Bail-Ellis (Commission) asked for reactions to the documents circulated to Member States at the last meeting. The UK reserved their position because from closer examination of the proposals it appeared that Handloom would be included in the quota for Categories 7 and 8 and also in a separate quota. UK doubts were echoed by France and the Netherlands. The Germans saw a problem in surveillance, since Handloom is not subject to licensing. Mme. Le Baii-Ellis urged delegates to reconsider, stressing the difference between the Pakistani and the India question and the disadvantages to the Community if the present system continued. The Commission (Eofmann) hoped that some agreement could be reached next week.
to reject the Pakistani proposals.
It would be advisable not
2. On India, Hofmann said it was desirable that delegates agree to make a slight concession to the Indians over artificial textiles in traditional products. The UK wanted to withdraw the concessions they had agreed over items not clearly folkloric and place a reserve on the whole folkloric list until there was action on woven trousers. The Commission said the two points could not be associated. The UK stance would cause a blockage as their July figures were still not convincing enough to have a Basket it. The question will be re-examined next week. The UK agreed to review their position pending a possible Basket Exit on trousers when more figures are available and agreed on a waiting reserve for folklore.
B. Mediterranean Textiles
Reported separately by DOI, DOT and in my note to FCO.
C. Classification - Hong Kong
3. The Note Verbale received from the Hong Kong delegation was a fairly tough comment on the Community's inability to arrive at a solution during the recent consultations. St Cyr (Commission) said that textiles experts should participate in the next meeting of the Nomenclature Committee in September. It was agreed that the Connis- sion would send a telex to Member States to this effect. The French suggested that samples should be used at the meeting to speed it up.
D. Exit from the Basket
4.
The Commission (Hofmann) queried the UK's request for Basket Fxit on Category 5 from India while asking for an increase froz Hungary in this Category. It would be difficult to justify the
/increase
RESTRICTED