CONFIDENTIAL
Cypher/Cat A
IMMEDIATE
elno 303
PEKING TO FOREIGN OFFICE
15 April 1968
444
321
CONFIDENTIAL
Addressed to Foreign Office telegram No. 303 of 15 April. Repeated for information to Hong Kong.
My immediately preceding telegram: Rice, clothing and treatment of prisoners.
When Lo raised question of gift rice I replied on lines of Hong Kong telegram No. 264. I pointed out that China Resources Company were simply being asked to undertake a paper transaction which would not involve them in any financial or import loss. The fact that they continued to raise difficulties strongly suggested that they were not sincere in their approach.
2. Lo replied Chinese could not agree to our procedure and asked why we insisted that arrangements should be made through import merchants. If we were afraid that 5,000 tons was too much at one go, Chinese were prepared to import amount in separate batches. Our method was unreasonable. I repeated that our method was simple and very reasonable. We had made it clear we were prepared to allow the rice in as a non-commercial consignment. If Chinese authorities were prepared to cooperate there would be no problem.
3. Lo also made standard complaint about gift of 1,000 suits of clothing to prisoners. In my reply I re-stated our position and noted that the 1,000 suits had not (repeat not) been handed in although some 400 had been addressed to individuals over Chinese New Year. I emphasized that suits must be addressed to individuals and not sent in bulk. Lo said that it was ridiculous to hand over suits only when prisoners were released. The British side were merely raising obstacles.
40 Lo also complained that visitors to prisoners in Hong Kong had reported some of the prisoners were kept apart from the others. They were also only allowed from 5 to 12 minutes in fresh air every day. He demanded that Hong Kong authorities should "immediately put an end to these inhuman measures". I undertook to pass on Lo's remarks, but I assured him that there was no question of prisoners being subjected to inhuman treatment. I should be grateful for information which would help me to rebut any subsequent allegations along these lines.
5. I had impression that Chinese may be ready to seek some compromise arrangement over rice and attach some importance to a gesture from us on this question. It might help to oil wheels on larger Hong Kong issues if this could be achieved. Would it be possible for us exceptionally to grant a licence to China Resources or in some other way get round imports via the 3 import merchants without upsetting general import control arrangements?
LAST
927
REF
444
CONFIDENTIAL
/Foreign Office
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