3.

CONFIDENTIAL

a second crossing should be allowed at the eastern end of the bordert Sha Tau Kok. There control is at present made more qifficult by the fact that the border is unrenced and runs As for the quarry down the middle of the village strect. project, tha is Leing examined urgently with the intention of finding a way tu approve the scheme duspite the difficulties inherent in a new and heavily used form of border crossing. we need quarry This is not simply to demonstrate ucodill; aggregate, particularly at that end of the New Territories.

6. ! With sea transport we have told the Chinese, through NONA, that it is impossible to have facilities say here for the cate they suggested or their

their "lternative" of15 October. We have said, however, that we are prepared for this additional Service + Guangzhou to start en

to start en ) January providing that adequate arrangements can be made for offloading rascengers. In practice this will have to be Jone in. co-operation with the Pong Kong and Yacmatei Ferry Company by using a chuttle service to the pier from which HKYF now operate their day. time hoverferry service to Cuangzhou. We will respond similarly on the pronesal for a service to Swatow and Anoy. As such as possible we hope to centralise all sea services to China at one pier, probably using a pier on the Kowloon waterfront which reverts to Government ownership at the end of this year.

Facilities for immigration and customs there may take come time to develop; we are now looking at the question urgently,

7.

With all these transport links we will make a pre-condition, as in the case of the through train, that the service must be limited to those who have documents giving them a right of access to Hong Kong (1.e. excluding now arrivals from China without vises) and that the services involved will undertake to return to China any who infringe these restrictions.

(D C Wilson)

c2 P JT McLaren Esq (HKGD FCO)

TJ B George Esq (PEKING)

PJ Weston Es

(WASHINGTON)

COME

DENTAL

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