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what arrangements might be suitable at some
future date in necessarily hypothetical
circumstances, or to judge now what interest
might in future be considered essential.
(ii) What arrangements are being made for consultation
with Commonwealth countries?
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We have made clear that we envisage that any
negotiations would be preceded by a period of
thorough probings and consultations.
Before
embarking on negotiations we should want to be
sure that our entry would be welcomed by all the
existing members of the Community. We do not
intend to rush our fences. It is not possible
to foresee how our preliminary soundings will
progress and when matters will reach a stage
where consultation with Commonwealth Governments
will be necessary. Commonwealth Governments
can rest assured however that we shall have
regard to their interests and proceed in the
closest consultation with them.
Position of Hong Kong
5. The rest of this brief is necessarily conjectural.
It sets out the background and the best guesses available in
the Colonial Office on Hong Kong's prospects in the event
of British entry to the Community. It might be used as
background in discussion with the Hong Kong government but
the Secretary of State is advised to point out that a lot
of it is no more than speculation.
6. A little under 20% of Hong Kong's exports come to
Britain (compared with about 30% to the U.S.A. and under
10% to the E..C.). Most of them enter our market duty free
and receive a preference in that we charge a tariff on imports
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