CONFIDENTIAL
The case for giving Hong Kong the widest possible measure of authority in practice rests on the size, pattern and growing complexity of the Colony's trade. It is arguable whether in Whitehall there is anyone with sufficient knowledge or understanding of the Colony's commerce to make competent decisions relating to it.
In the broad sweep of international trade affairs Whitehall's knowledge is obviously more extensive than Hong Kong's with its much wider contacts and scurces of information. There is clearly therefore a field for the marriage of these separate skills in handling Hong Kong's commercial interests.
17. In the actual conduct of commercial negotiations, an intimate knowledge of Hong Kong industry and trade is essential: such negotiations must be in the hands of Hong Kong representatives. Hong Kong has argued that the presence of UK representatives at the negotiating table has tonded to diminish the stature and authority of its representatives. There is no doubt that on some occasions this has been the case; the opposite side in the negotiation has been quick to notice differences of views between UK and Hong Kong representatives and exploit them to its advantage. But it is also arguable that on occasions the support of UK representatives has helped Hong Kong's cause in that it has brought home to the other side of the table that UK interests and relations are involved and must be considered. Nevertheless Hong Kong has without UK participation fought its own battles in negotiations on cotton textiles under the LTA. There is probably a good case for making UK participation at the negotiating table an exceptional arrangement and then only as "observers", the general "brief" for the negotiations having been agreed in advance (see paragraph 19 below).
18.
The above relates to the conduct of actual negotiations. It does not apply to the conduct of general talks with third countries on broad policy matters. In such talks the extent and nature of UK participation must depend very much on the scope and importance of the policy issues involved, and such factors as venue, ranging from UK chairmanship (e.g. the recent talks on textiles with US officials in Geneva) to attendance as observers.
CONFIDENTIAL
/ 19.
No comments yet.
Private notes are available after approval.