XN000022-1992-02-27 — Page 12

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THURSDAY, FEBRUARY 27, 1992

URUGUAY TEXTILES AGREEMENT TO REPLACE MFA

CLOTHING

THE DRAFT URUGUAY ROUND AGREEMENT ON TEXTILES AND SHOULD PROVIDE MORE CONTINUITY AND CERTAINTY TO HONG KONG'S TEXTILE AND CLOTHING TRADE. THE ASSISTANT DIRECTOR-GENERAL OF TRADE (MULTILATERAL), MR PATRICK LAU, TOLD MEMBERS OF THE TEXTILE COUNCIL AND OTHER GARMENT ASSOCIATIONS TODAY (THURSDAY).

LAU

SPEAKING AT A BRIEFING SESSION BY THE TRADE DEPARTMENT, MR SAID THE DRAFT AGREEMENT WAS ON THE WHOLE ACCEPTABLE AS THE BASIS OF A FINAL AGREEMENT UNDER THE CURRENT URUGUAY ROUND OF MULTILATERAL TRADE NEGOTIATIONS.

"THE DRAFT AGREEMENT MEETS OUR BROAD OBJECTIVES IN RESPECT OF OUR OVERALL MARKET ACCESS AND HONG KONG SHOULD NOT BE DISCRIMINATED AGAINST OTHER MAJOR SUPPLIERS," MR LAU SAID.

FOR HONG KONG FOR 10

"IT PROVIDES CONTINUITY AND CERTAINTY YEARS ON SLIGHTLY BETTER TERMS THAN THOSE AT PRESENT," MR LAU SAID.

IF THE ROUND IS SUCCESSFULLY CONCLUDED WITHIN THIS YEAR, THE TEXTILE AGREEMENT MIGHT COMMENCE NEXT YEAR ΤΟ REPLACE THE MULTI-FIBRE ARRANGEMENT (MFA) WHICH CURRENTLY GOVERNS WORLD TRADE IN TEXTILES AND CLOTHING AND WILL EXPIRE AT THE END OF THIS YEAR.

OVER THE NEXT DECADE-DIVIDED INTO THREE PHASES OF THREE, FOUR AND THREE YEARS-A TOTAL OF 51 PER CENT OF TEXTILE AND CLOTHING PRODUCTS IMPORTED BY HONG KONG'S MAJOR MARKETS WILL BE PROGRESSIVELY INTEGRATED INTO THE GATT WHILE OTHER RESTRAINED PRODUCTS WILL BE SUBJECT TO GROWTH RATES SLIGHTLY HIGHER THAN THOSE NOW IN PLACE.

EXPORTING COUNTRIES WILL CONTINUE ΤΟ RETAIN THE RIGHT ΤΟ ALLOCATE EXPORT QUOTAS TO THEIR TRADERS FOR THESE RESTRAINED PRODUCTS.

HONG THESE ARRANGEMENTS WILL OBVIATE THE NEED FOR

ΤΟ KONG BILATERAL TEXTILES AGREEMENTS EVERY FEW YEARS.

CONCLUDE

TRADE IN TEXTILE PRODUCTS WILL BECOME SUBJECT ΤΟ STRENGTHENED UNDER THE GATT RULES AND DISCIPLINES CURRENTLY ALSO BEING NEGOTIATED URUGUAY ROUND.

ALSO THE DRAFT AGREEMENT

STRENGTHENS IMPORTERS' ABILITY TO FRAUD AND TAKE ACTION TO DEAL WITH CIRCUMVENTION OF QUOTA BY TRANSHIPMENT.

ORIGIN

MONITOR THE A TEXTILE MONITORING BODY (TMB) WILL BE SET UP TO

THE IMPLEMENTATION OF

AGREEMENT. 1T WILL REVIEW AND MAKE RECOMMENDATIONS ON ANY DISPUTES WHICH MAY ARISE.

"IN THE

ABSENCE OF A SATISFACTORY RESOLUTION OF DISPUTES THROUGH THE TMB, PARTIES MAY RESORT TO

SETTLEMENT

PROCEDURES, MR LAU SAID.

THE GATT DISPUTE

ON THE TIMEFRAME FOR THE CONCLUSION OF THE COMMITMENTS LAU SAID NEGOTIATIONS ON TARIFFS AND CONTINUE UNTIL THE END OF MARCH OR EVEN EARLY

URUGUAY ROUND, MR ON SERVICES APRIL.

WOULD

/HOWEVER, THE