0003230
G.F. 323
CONFIDENTIAL
22
Although
licensing statistics fortnightly to the Swedish, Government. the supply of export licensing statistics was not as effective an early warning system as an E/A scheme, the figures would be available to the Swedish Government before the goods arrived. In that way, the Swedish Government would be able to call for consultation under Article 3 of the Cotton Textiles Arrangement, if necessary. Baron de Geer said that his delegation would consider further whether those items should be freed completely, or put under an export authorisation system, or whether the provision of export licensing statistics would suffice; presentationally, it would be better for him if an export authorisation system was introduced.
Cotton Garments Table 7
(Coats
85.
Mr. Jordan said he could see no reason why an export authorisation system was necessary for those items since Hong Kong imports as well as total imports had dropped. Baron de Geer said that Swedish production had dropped even more. His government might consider dispensing with the proposed export authorisation system at the next round of consultations. Mr. Jordan noted Baron de Geer's proposal and then asked if Mr. Henriksson could define the type of garments to be covered before the consultations closed.
Cotton Garments Table 8
(Slacks, jeans and trousers)
86.
Mr. Jordan asked why imports from U. 3.A. which were by far the largest were not restricted, whereas Hong Kong imports which were declining should be subject to restraint. Baron de Geer replied that his Government did not seek to apply restrictions on imports from countries where the labour costs were comparable with those in Sweden. Moreover, U.S. imports were principally men's and boys', and that could not account for the drop in production of women's and girls', imports of which from Hong Kong had risen. U.S. imports were also mainly fashion items, but Hong Kong imports composed largely of. the regular jeans which competed with Swedish products. Mr. Jordan pointed out that since the Swedish customs had difficulty in identifying the sex of trousers, the argument that U.S. mainly exported men's and boys' trousers was defeated. Hong Kong's share in total had declined from 1967 to 1968. Moreover, since restriction was applied to men's and boys' only for imports from Portugal it was unfair that trousers for both sexes imported from Hong Kong should be restricted. Baron de Geer explained that it was recognised to be an error that imports from Portugal of only men's and boys' trousers were restricted, and it was his government's intention to restrict imports of the women's and girls' item too. In answer to Mr. Jordan's enquiry, Mr. Henriksson explained that there were certain trousers for women's and girls' wear which were hard to distinguish from men's in terms of size and shape. Under the normal Brussels Tariff Nomenclature procedure, where an article could not be classified between men's and women's wear, it would be admitted as women's. Imports of such trousers were rising.
Other Made-up Cotton Articles Table 1
Bed linen)
87.
After Mr. Jordan told him that Hong Kong exports of embroidered bed linen was negligible, Baron de Geer agreed that the proposed restriction should only cover plain bed linen. He said that a common quota for bed linen and towels would also be acceptable to Mr. Strandberg, but felt that the unit of control would have to be by weight.
Mr. Jordan
CONFIDENTIAL
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