RESTRICTED
(c)
7.
France should not be allowed to extend the process: Senator Cook hoped to meet French Trade and Agricultural Ministers, German Economics Minister and GATT officials in early June.
Sir J Coles said Britain detected signs of progress. French Ministers were divided. Would be disastrous to re-open the EC-US agreement. Essential that agricultural deal be seen as part of overall package.
8.
GATT Director-General: Canberra Telno 225 (Annex A).
Coal and Agricultural Subsidies
9. Mr Wood welcomed British measures to rationalise the coal industry. Australians hoped entire EC would withdraw state subsidies from coal sector: hoped for tightening EC directives. Still more scope for agricultural reform: would welcome British support for "economic rationalist" approach to subsidies. Sir J Coles said Britain would progressively reduce subsidies to deep-mined coal up to full privatisation of British Coal. In general, Britain would continue to argue for reduced subsidies within the EC.
Trade and Investment Conference (TIC)
10. DFAT team made the following points:
(a) Britain an important investment destination for Australia.
Currently defining which industrial sectors would be most involved in TIC.
(b)
(C)
(a)
(e)
(£)
11.
(a)
(b)
(c)
TIC was government-to-government conference with enthusiastic private sector involvement.
Hoped Mr Keating (Prime Minister) and a number of other Cabinet Ministers could attend.
Envisaged formal conference on first day; business contacts on second.
Hoped for early steer on how British participating companies would be selected. Would they travel together?
British side said:
TIC would be much welcomed; timing propitious.
Mr Heseltine would issue personal invitations to business. ANZTAC would also be involved.
Undertook to respond to Australian questions before Senator Cook's London visit.
RESTRICTED
- 3