TNAG-0162-FCO40-198-Export-of-textiles-to-Norway-and-Sweden-1969 — Page 51

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He

matched by an increase in production. He added that while Hong Kong had increased its share of the market for synthetic blouses, other` suppliers had gained at Hong Kong's expense in the cotton sector. thought it was these other suppliers with increased "performance in both cotton and synthetic blouses, who were causing damage to the Norwegian industry!

39.

Mr. Engebrigtsen repeated that the threat of market disruption

he had no wish by Hong Kong was a valid reason for seeking restraint; to see the entire industry closed down before positive remedial measures could be taken.

40.

Mr. Jordan was not convinced that Hong Kong was at the root

He noted that of the present troubles facing the Norwegian industry.

the 1968 figures showed a decline in imports of both Hong Kong synthetic and cotton blouses. He offered the following contributing reasons for this decline

(a) the market as a whole was shrinking;

(b)

the Norwegian industry had become more competitive in 1968;

(c) Hong Kong had been displaced by other suppliers.

In view of Norwegian concern, however, he would be prepared to offer

This would an Export Authorisation scheme for synthetic blouses.

give the Norwegian authorities advance notice of likely shipments up to 3 months in the future and they could use this information to request consultations if they so wished. He could go no further than this as the declining Hong Kong export trade certainly did not warrant the imposition of any restraint.

(The meeting adjourned for a fifteen minutes to allow the Norwegian delegation to consult amongst themselves.)

41.

Both sides turned their attention to the items for which the Norwegian delegation had requested the imposition of an Export Authorisation system.

42.

Mr. Rønning observed that the Norwegian production of suits, jackets, uniforms and coats not knitted or crocheted, wholly or mainly of synthetic textile materials, men's and boys' wear (item 841.713) had decreased slightly, whereas Hong Kong's share of the total market had risen from 5% in 1966 to 14% in 1967. The statistics provided by the Hong Kong delegation indicated an even steeper rise in the first half of 1968. If this trend was to continue, considerable damage could be inflicted on the Norwegian industry. Hence the Norwegian Government's

Mr. Jordan remarked anxiety to keep this item under surveillance.

that the figures for the first half 1968 indicated an abnormal development when compared with those for 1967. He would wish to identify the actual garments causing the Norwegian industry concern since this category covered a wide range. Mr. Rønning replied that it was both the "winter articles" and "leisure wear" which were of concern, but he regretted he could not be more specific at the present stage.

- he was not worried by Norwegian imports of anoraks.

43.

But

Mr. Jordan explained how an export authorisation system operated and stated that he would not wish to impose such a system on articles which were not of concern to the Norwegian Government. Mr. Haerum agreed that the Norwegian Government would attempt to define the items concerned in further correspondence.

/44.

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