TUESDAY, SEPTEMBER 10, 1974
RESTRAINTS ON TEXTILE EXPORTS TO AUSTRALIA FINALISED
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AN ESTIMATED 80 PER CENT OF HONG KONG'S TEXTILE EXPORTS TO AUSTRALIA WILL BE UNAFFECTED BY THE RESTRAINT ARRANGEMENTS WHICH ARE NOW BEING APPLIED.
THE COMMERCE AND INDUSTRY DEPARTMENT SAID TODAY THAT THE RESTRAINTS - BACKDATED TO JULY 1 - HAVE NOW BEEN FINALISED AFTER CONSIDERATION BY THE TEXTILES ADVISORY BOARD.
THEY ARE LIMITED TO FIVE GROUPS IN THE GARMENT SECTOR INSTEAD OF THE NINE ORIGINALLY PROPOSED BY THE AUSTRALIAN GOVERNMENT.
THE INTRODUCTION OF VOLUNTARY RESTRAINTS FOLLOWS LAST MONTH'S TOUGH BARGAINING WITH THE AUSTRALIAN GOVERNMENT WHICH CONTENDED THAT GARMENT EXPORTS FROM VARIOUS ASIAN COUNTRIES INCLUDING HONG KONG - WERE DISRUPTING THE AUSTRALIAN MARKET.
+THERE WAS GREAT RELUCTANCE ON OUR PART TO AGREE TO ANY RESTRAINTS AT ALL,+ SAID MR. LAURENCE MILLS, DEPUTY DIRECTOR OF COMMERCE AND INDUSTRY, +BUT THERE WAS NO OTHER COURSE TO TAKE IN VIEW OF THE STRONG EVIDENCE OF DISRUPTION WHICH THE AUSTRALIANS WERE ABLE TO PRODUCE.
+UNDER THE TERMS OF THE INTERNATIONAL AGREEMENT COVERING WORLD TRADE IN TEXTILES WE WERE OBLIGED TO ACCEPT THAT SOME QUANTITATIVE RESTRICTIONS WERE NECESSARY.+
MR. MILLS SAID THAT IT HAD BEEN POSSIBLE, HOWEVER, TO MODIFY THE ORIGINAL PROPOSALS IN HONG KONG'S FAVOUR.
+ THE AUSTRALIANS WANTED RESTRAINTS ON NINE GROUPS OF OUR CLOTHING EXPORTS, BUT THROUGH HARD CONSULTATION WE HAVE MANAGED TO REDUCE THESE TO FIVE.+
THE REMAINING FOUR CROUPS, HE SAID, WOULD BE SUBJECT TO SURVEILLANCE MEASURES.
MR. MILLS SAID THAT THE ITEMS NOW UNDER RESTRAINT ACCOUNTED FOR NEARLY 20 PER CENT OF HONG KONG'S TOTAL EXPORTS TO AUSTRALIA DURING THE FIRST SIX MONTHS OF THIS YEAR.
THE FIVE GROUPS OF CLOTHING UNDER RESTRAINT ARE: COTTON, HAN-MADE FIBRE AND WOOL KNIT CASUAL SHIRTS, JACKETS AND SWEATERS MAN-MADE FIBRE, COTTON KNIT AND WOVEN DRESSES= CHILDREN'S COTTON AND MAN-MADE FIBRE KNIT PLAYSUITS AND TRACKSUITS COTTON AND MAN- MADE FIBRE WOVEN COATS AND MAN-MADE FIBRE BLOUSES.
THE RESTRAINT ARRANCEMENT GIVES HONG KONG THE RIGHT TO TRANSFER YARDAGE FROM ONE ITEM TO ANOTHER UP TO SEVEN AND A HALF PER CENT, PROVIDED THERE IS NO OVERALL INCREASE IN THE VOLUME OF RESTRAINED GARMENTS.
/THE FOUR ..