CONFIDENTIAL
5. THE REFERENCE IN THE DRAFTS TO THE PROVISION OF INITIAL ASSESSMENTS COVERS THE PAYMENT BY THE OVERSEAS PROJECTS FUND OF FARES AND SUBSISTENCE FOR SMALL TEAMS EG TWO SPECIALISTS FOR SAY TWO
OR THREE WEEKS FROM THE CONSULTANCY ORGANISATIONS OF THE NATIONALISED INDUSTRIES. SALARIES AND OVERHEADS WOULD BE CARRIED BY THOSE ORGANISATIONS. THE ASSESSMENTS WILL, THEREFORE, COST THE CHINESE NOTHING. THE REFERENCE TO MORE SUBSTANTIAL STUDIES IN COLLABORATION WITH UK FIRMS COVERS THE POSSIBILITY THAT, WERE THE CHINESE INTERESTED IN NEGOTIATED CONTRACTS, THEN THE CONSULTANCY WINGS OF THE NATIONALISED INDUSTRIES COULD BECOME PART OF ANY UK GROUP PUTTING PROPOSALS TO THE CHINESE. THEIR COSTS WOULD BE RECOVERED IN THE CONTRACT PRICE.
6. WE WOULD APPRECIATE YOUR URGENT COMMENTS, ON THE DRAFTS IN MIFT, IN THE CONTEXT OF THE POLICY OUTLINED ABOVE, DESK BY 24.090OZ. WHEN WE HAVE CONSIDERED YOUR ADVICE WE ENVISAGE ASKING BTC TO FORWARD THE DRAFTS TO KADOORIE FOR URGENT COMMENT AND, IN THE LIGHT OF THESE, INSTRUCTING YOU TO PRESENT THE FINAL PAPER TO THE CHINESE SUFFICIENTLY IN ADVANCE OF MR DELL'S VISIT FOR THE PROPOSALS TO HAVE BEEN UNDERSTOOD, BUT NOT SO LONG AS TO ENABLE THEM TO RAISE
DETAILED POINTS WITH MR DELL.
OWEN
FILES FED
ES & SD
ECON D
TRED
NEWS D
COPIES TO MR ROYCE
MR KNIGHTON
DEP SEC
MR OLDHAM
11C/AD
MR WILKS
BOTB
DOT
MR BROWNING
CRE4
HK & GD
MR TWYMAN
OPG
PS/MR JUDD
MR LOVE
CRE
PS/LORD GORONWY-ROBERTS
MR CROFT
FEA
PS/PUS
MR LIPPITT
DEP SEC
SIR A DUFF
MR FARROW
SBP
DOI
MR CORTAZZI
MR THORNTON
EPT
MR MURRAY
ME THOMAS
MR COTTERILL
ECGD
MR BUTLER MR LEAHY
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