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MR GOLDSMITH (CRE:1)
c.c. Mr Stewart
Mr Carter
(Mintech:)
FCO)/
Miss Elliott (CRE:1)
COTTON TEXTILES: HONG KONG/E.E.C. TALKS
Mr Sellers of the Hong Kong Government Office has informed me that the bilateral talks on the possibilities of increased export opportunities envisaged at the last meeting of the C.T.C., are arranged to take place on Monday and Tuesday January 26th and 27th. There is, however, considerable doubt what the talks are going to be about.
2. While Hong Kong appear to have been optimistic that these would be substantive discussions, and are sending a representative from Hong Kong (Dorward) Ernst has been careful to discourage Hong Kong optimism by hints to Dodge that these talks cannot be expected to go beyond the Commission listening to a Hong Kong exposition of what it might want, and the Commission would then want to pause for reflec tion before resuming.
It appears that Hong Kong will be the first country with which the EEC have talks of this kind,
3.
4. I suggested to Mr Sellers that there was nothing particularly surprising about Ernst's attitude, and one could only expect the EEC to move quite slowly.
5. I asked whether Hong Kong had received formal approval of the agreements concluded last autumn on cotton textiles with Benelux and Germany. Apparently the agreement with Benelux (which includes only a 5 per cent growth factor) has been approved, but there is still delay over the expected communication from the German Consul General in Hong Kong of the confirmation of the German Agreement. Hong Kong.are, however, proceeding on the assumption that it can be taken as confirmed.
D I DUNNETT
CRE:1
26 January 1970
RECEIVED IN REGISTRY No.51 27 JAN 1970
AKK /%
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