This (decision/woul 1
oull of course be subject to
any notifications that might be required if
we joined the European Economic Community.
7. In reaching their decision the Government
have taken full account of the fact that a number
of Commonwealth countries have rights to duty-
free entry into the United Kingdom market.
Cotton textiles have always been regarded
internationally as a special case: by imposing
a tariff on them the Government have no intention
of setting @ precedent for further departures
from our traditional policy in regard to
Commonwealth goods.
8. So far as the trade in cotton goods is
concerned the Government have concluded that
there is no reason to think that, with the
exception of India, the developing countries of
the Commonwealth generally would be able to
export loss to the U.K. over a tariff of the
level which we have in mind than they would with
a continuance of the quota system. So far as
/India
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