STI ON MFA
THURSDAY, MAY 23, 1991
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THE SECRETARY FOR TRADE AND INDUSTRY, MR T.H. CHAU, SAID THIS (THURSDAY) EVENING HE WAS CAUTIOUSLY OPTIMISTIC THAT A CONSENSUS COULD BE REACHED BETWEEN IMPORTING AND EXPORTING COUNTRIES ON EXTENDING THE MULTI-FIBRE ARRANGEMENT (MFA).
SPEAKING AT A DINNER HOSTED BY KWUN TONG INDUSTRIAL ASSOCIATION, MR CHAU SAID THE PROPOSAL BY THE INTERNATIONAL TEXTILES AND CLOTHING BUREAU (ITCB) TO CONDITIONALLY EXTEND THE MFA FOR 17 MONTHS HAD NOT BEEN ACCEPTED BY IMPORTING COUNTRIES.
"IN THE COMING WEEKS THERE WILL BE FURTHER IN-DEPTH CONSULTATIONS WITH A VIEW TO REACHING A CONSENSUS BEFORE THE EXPIRY OF THE MFA.
"ON THE BASIS OF PREVIOUS EXPERIENCES WITH MULTILATERAL NEGOTIATIONS, IF BOTH SIDES COULD APPROACH THE QUESTION WITH FLEXIBILITY, I AM CAUTIOUSLY OPTIMISTIC THAT A CONSENSUS CAN BE REACHED, HE SAID.
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MR CHAU SAID ONE CONDITION SET BY THE ITCB WAS THAT IMPORTING COUNTRIES SHOULD REFRAIN FROM INTRODUCING NEW RESTRICTIONS DURING THE EXTENSION.
"SECONDLY, THE ACCESS FOR EXPORTERS IN ANY RENEWED OR RENEGOTIATED BILATERAL AGREEMENTS MAY BE IMPROVED, BUT IN NO CASE SHOULD IT BE WORSE THAN THE EXISTING ACCESS.
"THIRDLY, THE IMPORTING COUNTRIES SHALL NOT APPLY AGGREGATE GROUP LIMITS AND REGIONAL QUOTAS DURING THE EXTENDED PERIOD,
OR
* HE SAID.
MR CHAU SAID THE EARLIER THE QUESTION OF MFA EXTENSION WAS RESOLVED, THE SOONER WE COULD CONCENTRATE OUR EFFORTS ON OUR ULTIMATE OBJECTIVE UNDER THE URUGUAY ROUND TO RETURN THE TEXTILES AND CLOTHING SECTOR TO THE DISCIPLINES OF THE GATT.
"HONG KONG SUPPORTS THE CONCLUSION OF THE URUGUAY ROUND BY END OF THIS YEAR AND EARLY IMPLEMENTATION OF ITS RESULTS," HE SAID.
THE
HE SAID A URUGUAY ROUND AGREEMENT ON TEXTILES AND CLOTHING WOULD SUPERSEDE THE BRIDGING ARRANGEMENT, AND THE WORLD TEXTILE AND CLOTHING INDUSTRY AND TRADE COMMUNITY WOULD HAVE TO FACE THE NEW CHALLENGES THEY SET UPON THEMSELVES.
I AM VERY CONFIDENT
"WITH THEIR INGENUITY AND ADAPTABILITY, THAT OUR TEXTILES AND CLOTHING SECTOR WILL TAKE A FULL GRASP OF THE OPPORTUNITIES FOR FREE COMPETITION PRESENTED BY THE NEW AGREEMENT AND MAINTAIN AND DEVELOP HONG KONG'S LEADING POSITION IN WORLD TRADE IN TEXTILES," HE SAID.
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