XN000022-1972-03-29 — Page 62

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Wednesday, March 29, 1972

HONG KONG PRESSING FOR EARLY FORMAL CONSULTATIONS

With Britain On Exports Of Cotton Textiles

The Hong Kong Government is now pressing the British Government

for early formal consultations on the post-1972 arrangements for exports

of cotton textiles to the United Kingdom.

The Financial Secretary, the Hon. C.P. Haddon-Cave, stated this

today in the Legislative Council at the resumed Budget Debate.

"We had hoped to be able to press Her Majesty's Government for an

improvement of their offer to us in respect of transfers from fabrics to

garment quotas," he said.

On transfers, H.M.G.'s response had been that an improvement could

be offered only upon certain conditions, which had been unacceptable to

Hong Kong, he added.

"Nor were we successful in our bid for hardship yardage, but then

neither was any other supplier,'

TH

After consulting the Textiles Advisory Board and taking all aspects

of the situation into consideration the following decision was taken:-

Continue to limit exports in 1972 on the same basis as in recent years;

Reserve Hong Kong's position on the question of compen- sation; and

Abandon negotiations for compensation for 1972 provided formal consultations were started soon on the arrangements to be introduced in 1973 consequent on Britain's entry into the E.E.C.

/Earlier,