6/14
CONFIDENTIAL.
UNITED KINGDOM DELEGATION TO THE EUROPEAN COMMUNITIES.
28 rue Joseph II,
Bruxelles, 4.
1
13 February, 1969.
37
Mo. Murden
May I see
this pl. JMCK
17/2
UNCTAD Preferences
I have now seen Tran, subsequent to the meeting of the Community Working Group on 11-12 February, and he has given me the following ace- ount of the current state of play.
2. It seems that the Commission paper, and the proposals contained in it, were well received by the member states. The procedure with respect to industrial products and semi-manufactures was agreed and no excep- tions list will be tabled with the 0.E.C.D. The Commission's proposed list of sensitive products (Annex I of the paper enclosed with my letter of 7 February) was accepted as a minimum but all the member states wish to add to it; and it is therefore likely that the list will end up a good deal longer than it is at present. The Italians are maintaining a reserve on their request for some internal Community safeguard proċed- ure to operate within the quotas on sensitive items; but they received no support from the other member states and their reserve is not, apparently, being taken seriously.
3. The discussion on processed, agricultural products went less well. The Commission's list of offers in this sector (Table A of Annex II of the paper referred to above) was considered too long. There is to be a further meeting of the working group next week and it seems clear that the list will then be substantially reduced.
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4. The major development at the meeting was that the passage in the draft communication to the 0.E.C.D. dealing with the beneficiary count- ries (paragraph IV of Annex II) was completely struck out. This was done at French request. It was agreed that, instead,cthe Community spokesman would explain the position on this point orally in the O.E.C.D.. The Community position would be that the preferences should be automatically extended to the Group of 77 and that the inclusion of those countries outside this group which requested it should be considered as a case by case basie. In reply to my question as to where such consideration would take place, Tran was rather vague, He said that clearly there would have to be some multilateral consideration between the industrial ised partners in the 0.E.C.D.; but there would also certainly be consid- eration à six within the Community.
5. On procedure, the Commission paper will now go to the Committee of Permanent Representatives who will probably consider it on 20 February. Thereafter it may be agreed at Ministerial level by the written proced- ure but Tran thought it more likely that it will be held over for the Council of Ministers on 3-4 March. If he is right, the Commúnity will be a few days late with their communication to the 0.E.C.D.
c.c. P.H.R. Marshall Esq.,
J.G. Jones, Esq.
0.H. Kemmis, Esq.,
}
UKMis Geneva
Board of Trade
R.G. Britten Esq., Trade Policy Dept., F.C.0.
R. Galdsmith Bec.,
#onko vỡ Pratos e
(ONFIDENTIAL
16.
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