Mr Edgar Mr Williamsign

Mr McQuade

Mr Chift

HKK 026/1

18 SEP 1981

CONFIDENTIAL

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33.

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C,D

MEETING WITH LAWRENCE MILLS, COMMISSIONER OF INDUSTRY AT 11.00 AM ON 17 SEPTEMBER

1. Mr Clift asked for a note on topics likely to be raised at this meeting. Mr Mills will later be seeing officials at the Departments of Trade and Industry. His full programme is attached to Peter Wise's letter of 2 September. Mr Wise will also be present at the meeting.

2. As is to be expected, Mr Mills' visit is primarily concerned with the renewal of the MFA. Paragraphs 5 to 8 and 12 to 18 of Guidance Savingram No 124 of 26 August summarise developments on this. Details of the outline negotiating mandate agreed by the EC in the 13 July Foreign Affairs Council are in paragraph 7.

the

3.

Mr Mills may also report on any reaction in the Hong Kong Government to HMG's recent assurance to Legco Unofficials on the MFA (FCO Telnos 632 and 633). I understand there is some concern on whether to publish all of HMG's assurance, lest the Hong Kong Government should appear to be going it alone in the negotiations and thus alienate the LDCs.

4.

Mr Mills might conceivably mention the US/Hong Kong bilateral textiles agreement. Negotiations on modifications to the Bilateral took place earlier this year. There were no major problems and Hong Kong did not request HMG's intervention with the USA. This does not however rule out a dispute next year after the MFA negotiations are over.

CODE 18-77

15 September 1981

Mas

Mm. Searle Demos

18.

Thank you

Мабана

M A Searle

Hong Kong and General Department

Pr. do a shot nove

on the pints which Mr. Mills raised

CONFIDENTIAL

Q14/9

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