WEDNESDAY, APRIL 20, 1977
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GOVERNMENT CONCERNED ABOUT PROPOSALS
FOR A MORE RESTRICTIVE M.F.A. ******
THE DIRECTOR OF COMMERCE AND INDUSTRY, THE HON. DAVID JORDAN, SAID TODAY THAT THE HONG KONG GOVERNMENT WAS +NATURALLY VERY CONCERNED+ ABOUT REPORTS THAT SOME MEMBERS OF THE EEC WERE PROPOSING TO MAKE THE MULTI-FIBRE ARRANGEMENT EVEN MORE RESTRICTIVE THAN IT WAS AT PRESENT.
MR. JORDAN WAS REPLYING TO A STATEMENT MADE BY THE HON. FRANCIS TIEN DURING THE RESUMED BUDGET DEBATE AT THE LEGISLATIVE COUNCIL.
THE MFA PROVIDES THE FRAMEWORK FOR THE NEGOTIATION OF ALL BILATERAL TEXTILE AGREEMENTS. IT EXPIRES AT THE END OF THIS YEAR AND TALKS ON ITS FUTURE HAVE STARTED IN GENEVA.
BUT NO DECISION HAS BEEN REACHED SO FAR. WHILE THE MAJORITY OF PARTICIPATING COUNTRIES AND TERRITORIES, INCLUDING HONG KONG, ARE PREPARED TO EXTEND THE MFA WITHOUT MODIFICATIONS, THE EEC HAS MADE IT CLEAR THAT, WHILE IT IS ALSO PREPARED TO EXTEND THE ARRANGEMENT, IT WISHES TO SEEK MODIFICATIONS TO IT.
ALTHOUGH THE MEMBERS OF THE EEC HAVE NOT YET BEEN ABLE TO AGREE AMONGST THEMSELVES ON PRECISELY WHAT MODIFICATIONS THEY WOULD WISH TO PROPOSE, IT APPEARS FROM REPORTS PUBLISHED IN BRUSSELS AND FROM OTHER SOURCES THAT SOME MEMBERS OF THE COMMUNITY WANT TO MAKE THE MFA MORE RESTRICTIVE, MR. JORDAN SAID.
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+WE AND MANY OTHERS - WILL RESIST ANY CHANGES THAT WOULD HAVE A MORE RESTRICTIVE EFFECT, AND PERSONALLY I CANNOT SEE AGREEMENT BEING REACHED ON ALL THE MORE RESTRICTIVE PROPOSALS THAT THE EEC HAS INDICATED THAT IT MAY SEEK,+ HE SAID.
+! BELIEVE THAT THE MOST LIKELY OUTCOME WILL BE SOMETHING THAT THE TEXTILE AND CLOTHING INDUSTRY CAN LIVE WITH,+ MR. JORDAN ADDED.
HE WENT ON ON THE OTHER HAND, IF I AM WRONG ABOUT THIS, AND IF ALL THE RESTRICTIONS THAT SOME PARTICIPATING COUNTRIES WOULD LIKE TO SEE CAME INTO EFFECT THEY COULD HAVE A SERIOUS EFFECT ON THE GROWTH POTENTIAL OF OUR INDUSTRY, WITH ALL THAT THAT WOULD ENTAIL IN EFFECTS ON OUR TOTAL ECONOMIC GROWTH AND ON THE FURTHER INCREASE IN PROSPERITY THAT THE PEOPLE OF HONG KONG HAVE EARNED BY THEIR EFFICIENCY, RESOURCEFULNESS AND PLAIN HARD WORK. AND IF THE MFA WERE TO GO THIS WAY, IT WOULD CREATE A VERY UNHEALTHY PRECEDENT FOR OTHER SECTORS OF TRADE. THIS COULD SET THE WORLD ON A DOWNWARD SLIDE INTO WIDESPREAD PROTECTIONIS,+
/MR. JORDAN
J