TNAG-0165-FCO40-201-Export-of-textiles-to-Norway-and-Sweden-1969 — Page 61

0003230

G.F. 323

CONFIDENTIAL

30 -

Final Session (Plenary)

9.30 a.m.. Saturday, 26th April 1969

Encl. 2 Encl. 3

105.

Mr. Ho referred to the draft Agreement handed to the Swedish delegation at the previous Session. He then handed across the completed Annex to the draft Agreement, a schedule showing the necessary adjustments to the various quota levels to compensate for the extended periods of restraint, and a list of items for subsequent establishment of E/A schemes.

106.

Baron de Geer informed Mr. Jordan that there was no need to provide separate figures for coats of impregnated and non-impregnated fabrics since both were to be under the Export Authorisation Scheme. Noting this, Mr. Jordan said that the one thing left for discussion was the non-cotton items which could only be considered informally using hypothetical figures that could be applied in the future if restraint should be agreed. Baron de Geer agreed.

Non-Cotton Garments Table 1 Undergarments

107.

Baron de Geer drew attention to the big increase in imports from Hong Kong, which accounted for his Government's request that it be placed under restraint. Baron de Geer suggested the adoption of the C.T.A. Annex 2 roll-back formula for determination of the levels for any non-cotton restraints. On that basis he suggested a level of 3,465, being imports for the year ending 30/11/68. Mr. Jordan pointed out that the Swedish delegation did not make their position clear until after their arrival. Accordingly, the reference year was 1968 and the figure should then be 3,470. Baron de Geer agreed.

108.

Mr. Jordan then stated there was also the question of definition. Hong Kong had been using the Swedish definition but that now excluded tights. Hong Kong considered that the definition included pants, briefs, etc. but should exclude slips, vests, petti- coats and tights because those items did not cause the alleged disruption. Baron de Geer remarked that petticoats were included in the Swedish figures. Mr. Jordan stated that petticoats might be included in the Swedish classification, but there was little trade in that item from Hong Kong. During the past nine months (July 1968 - March 1969) Hong Kong only exported 9 petticoats or slips out of a grand total of 3,290 for the whole classification. Hong Kong's main exports to Sweden in that category concerned items between the waist and the knee; with regard to anything above the waist the trade was small and anything below the knee could be classified as tights. there was very little trade in an item it should be left out. Baron de Geer said he would have to look into that matter as he did not have a very clear idea of what was included under the heading. As all those items were included in the existing E/A scheme, Baron de Geer suggested that petticoats should remain under Export Authorisation, and Mr. Jordan asked if it was worth it.

If

109.

Mr. Henriksson said that Mr. Jordan's definition of above the waist and below the knee was not quite accurate as there were some ladies' pants that went below the knee and reached down to the ankles for wear during the winter. Mr. Jordan stated that if those items were made of knitted man-made fibres and included the feet it had been agreed that they could be classified as tights. Other items which reached the ankles only were probably made of wool. Baron de Geer observed that such items could be included since Hong Kong exports to Sweden were negligible; if there was very little trade their inclusion would not mean anything to Hong Kong.

2

Mr. Jordan

CONFIDENTIAL