XN000022-1978-07-28 — Page 6

FRIDAY, JULY 28, 1972

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INFORMAL TALKS HELD WITH EEC TEXTILES

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A. LAWRENCE MILLS, DIRECTOR CF TRADE, SAID TODAY THAT HE HAD JUST COMPLETED THREE DAYS OF INFORMAL TALKS IN HONG KONG WITH THREE OFFICIALS FROM THE COMMISSION OF THE EUROPEAN COMMUNITIES MR. JOHN 18., . FRANCOIS NIZERY AND MR. FRITZ SCHODER.

THE TALKS HAD COVERED SEVERAL MATTERS ARISING FROM THE IPPLEVERTATION OF THE HONG KONG TEXTILE AGREEMENT WITH THE EEC.

+1 PARTICULAR WE DISCUSSED EEC LEGISLATION REGARDING THE CERTIFICATION OF ORIGIN OF PRODUCTS. ONE PROBLEM HERE IS THAT FOR CERTAIN PRODUCTS THE MANUFACTURING PROCESSES CARRIED OUT IN HONG KONG ARE SUFFICIENT, UNDER EEC REGULATIONS, TO CONFER HONG KONG CRISI HILST HONG KONG CONSIDERS THESE PROCESSES TO BE SUBSTANTIVE AND CRIGIN CONFERRING,+ MR. MILLS SAID.

WE HAVE WORKED OUT A. TEMPORARY SOLUTION TO THE DIFFICULTIES THESE DIFFERENCES OF APPROACH GIVE RISE TO FOR THE REMAINDER OF THIS YEAR AND DETAILS WILL BE ANNOUNCED SHORTLY. DISCUSSIONS ARE CONTINUING TO FIND A DEFINITIVE SETTLEMENT OF THESE PROBLEMS THROUGH CUR OFFICE ! BRUSSELS HEADED BY MR. CLAUDE BURGESS AND I EXPECT THAT A HONG KONG DELEGATION ILL HAVE TO VISIT PRUSSELS LATER IN THE YEAR TO FINALISE ANY ARRANGEMENTS WHICH MIGHT BE DRAWN UP,+ MR. MILLS ADDED.

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