PRIV
Dear Bumay
6/8/1
BOARD OF TRADE,
1 VICTORIA STREET,
LONDON S.W.1
11
A. Stewart
11/2
Hong Kong:
(
11th February, 1969
French Import Restrictions
Derek Jones' Memorandum on this subject dated 22nd January has been considered by the Departments principally concerned in the Board of Trade. It may be helpful to you to have our general reactions.
2. We are inclined to agree that the French should not be allowed to get away indefinitely with simply failing to notify the restric- tions which they operate against Hong Kong, and approaches of some kind should therefore be made to them.
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3. In considering what form these approaches should take, would seem appropriate to begin, in the first place, with the bilateral talks on the 1969 quota levels for Hong Kong. It is our impression that although dates for these may not yet have been fixed, French representatives are likely to be going to Hong Kong for this purpose towards the end of February.
4. We would think it best to consider our further steps after hearing what progress is made with the French at these bilateral talks. We might authorise Hong Kong to say to the French, if they do not seem to be getting anywhere, that they may in the circum- stances have to ask Her Majesty's Government to pursue the matter, perhaps in some GATT context.
5. As for what this GATT context might be need not be determined at this stage. In his minute which was copied to you, Mr. Kemmis mentioned considerations against placing much reliance on the Group on Residual Restrictions of the Committee on Trade and Development. We may, however, draw this amount of comfort from the situation outlined by Mr. Kemmis that since it is quite possible that the French are not going to participate at all actively in the examina- tions undertaken by that group, the risk of.there being any early discussion of the French restrictions, at which something would have to be said about the Hong Kong position, (to which Derek Jones draws attention) is perhaps not imminent.
6. Derek Jones refers to the Industrial Products Committee or procedures arising out of the New Zealand proposals on residual quantitative restrictions, as alternative and possibly preferable GATT occasions for dealing with the present problem. The prospect
W. Carter, Esq.,
Foreign & Commonwealth Office,
S.W.1.
LAST
ર
RECEIVED IN ARCHIVES No.31
1 9 FEB 1969
AKK8/312/1
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