CONFIDENTIAL

with the independent cooking arrangements at Kai Tak, and the whole impression was of an underlying but not regimented orderliness. Morale among the inmates was clearly lower, and

the Immigration Branch Officer who accompanied me was clearly concerned at the length of time (now over a year) that many

of these Chinese cases' had been confined, (See paragraph 4)

Offtake, Including UK Quota

4. As the attached detailed statistical analysis shows,

HKG officials are maintaining a large reserve capacity against a possible renewed flow. Everyone was very conscious of this danger, and this more than anything seemed to motivate the urgency all concerned felt that off take should continue at a high level, and that no risk should be taken of

a low (or non-existent) further UK quota/offtake prejudicing

US or Canadian willingness to work at their promised levels.

There continued to be some resentment (expressed particularly

by Sir Jack Cater in the Community Council meeting)

that Hong Kong had been 'discriminated' against by UNHCR and

potential recipient countries precisely because of its

efficient response. The UNHCR Representative, M Terlin, who

clearly has the confidence of HKG officials

in a way that some of his predecessors did not, presented

encouraging estimates of offṭake up to end September 1981 to the Community Council meeting. He suggested that a further

24-25,000 should have left by then, almost exactly

equivalent to the current total, excluding China cases,

and making no assumption of continuing UK off take beyond

March 1981. But over the same period we may expect at

least 5,000 new arrivals. I was left with the impression

that it was the Canadian rather than the US programme that

might suffer if no new UK quota emerged, but even this would be serious given signs of an increased Canadian effort next year.

Vietnamese Boat Departures

5. The balance of views in Hong Kong was that there wouldi

CONFIDENTIAL

/continue

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