CONFIDENTIAL

The Second General Conference of the United Nations Industrial

Development Organisation (UNIDO III) at Lima in March 1975,

where G77 drew up a blueprint for industrialisation in develoning

countries, known as the Lima Declaration and the Plan of Action

of Industrial Development and Co-operation. It set the target

that developing countries should have 25% of total world

industrial production by the year 2000. The UK, in company with six other major industrialised states, abstained on the

Programme of Action. UNIDO III took place in New Delhi from

21 January 8 February 1980. Group B voted unanimously against

the New Delhi 'Declaration' which sought to build on that of

Lima.

UNCTAD IV took place in Nairobi in May 1976. UNCTAD V took

place in Manila in May 1979. The US are strongly resisting a

proposal that UNCTAD VI, in 1983, should be staged in Havana.

The Special Session of the UN General Assembly was held in New

York from 25 August to 16 September 1980. Its two main tasks

were:

(a)

(b)

to formulate and agree an International Development

Strategy for the 1980s (which will follow two

earlier development decades for the '60s and '70s);

to launch a round of Global Negotiations on inter- national economic issues including energy, raw

materials, trade, money and finance, to begin in January 1981.

On (a) the IDS was agreed, and subsequently formally adopted at the 35th UN General Assembly. The UK entered an explanatory statement confirming its traditional position on time-bound

aid targets. On (b) it was not possible to reach consensus on the procedures for the Global Negotiations.

The US, Germany

and UK indicated that they could not accept the procedures text, although other industrialised countries were able to do so. A

matter of principle is involved . We were, and remain, determined

to preserve the independence and integrity of the Specialised Agencies such as the International Monetary Fund, the World Bank,

and the GATT. We cannot accept that the decisions of these

Agencies should be overridden by a UN Conference such as the

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