XN000022-1974-10-15 — Page 2

TUESDAY, OCTOBER 15, 1974.

TALKS TO EXPLAIN NEW TRADE AGREEMENT LAUNCHED

A SERIES OF TALKS TO EXPLAIN THE WORKINGS OF THE NEW HONG KONG/UNITED STATES TEXTILE AGREEMENT TO LOCAL TRADE ASSOCIATIONS HAS BEEN LAUNCHED BY THE COMMERCE AND INDUSTRY DEPARTMENT.

THE TALKS ARE BEING ARRANGED BY THE DEPARTMENT'S QUOTA CONTROL DIVISION, WHICH IS RESPONSIBLE FOR IMPLEMENTING THE NEW ARRANGEMENTS GOVERNING HONG KONG'S TEXTILE EXPORTS TO THE UNITED STATES.

+THESE TALKS ARE A FOLLOW-UP TO THE COMPREHENSIVE INFORMATION WE HAVE ALREADY CIRCULATED TO THE TRADE,+ IRS FRANCES HSJUNG, HEAD OF THE QUOTA CONTROL DIVISION, SAID TODAY. +OUR OBJECT IS TO MAKE IT AS EASY AS POSSIBLE FOR EXPORTERS AND MANUFACTURERS TO UNDERSTAND THE NEW ARRANGEMENTS.+

AN INVITATION TO RECEIVE SPEAKERS HAS BEEN ADDRESSED TO TRADE ASSOCIATIONS CLOSELY INVOLVED IN THE TEXTILE TRADE. THE FIRST TALK HAS ALREADY BEEN DELIVERED TO THE HONG KONG COTTON SPINNERS ASSOCIATION AND THE FEDERATION OF HONG KONG COTTON WEAVERS.

THE UNITED STATES IS HONG KONG'S LARGEST SINGLE MARKET FOR TEXTILE EXPORTS. HIGHER GROWTH POTENTIAL IS PROVIDED FOR IN THE NEW AGREEMENT WHICH CAME INTO EFFECT ON OCTOBER 1 FOR THREE YEARS. IT REPLACES PREVIOUS RESTRAINT ARRANGEMENTS WHICH WERE RENEGOTIATED BY THE COMMERCE AND INDUSTRY DEPARTMENT UNDER THE TERMS OF THE NEW ARRANGEMENT COVERING INTERNATIONAL TRADE IN TEXTILES.

THE NEW AGREEMENT COVERS EXPORTS OF COTTON, MAN-MADE FIBRE AND WOOL TEXTILES. THE AGGREGATE LIMIT HAS BEEN RAISED FROM 792 TO 835 MILLION EQUIVALENT SQUARE YARDS, AND THIS WILL INCREASE BY JUST OVER SIX PER CENT ANNUALLY TO REACH 934 MILLION EQUIVALENT SQUARE YARDS BY THE END OF SEPTEMBER, 1977, WHEN THE AGREEMENT EXPIRES.

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