TNAG-0240-FCO40-276-Entitlement-of-Hong-Kong-to-generalised-tariffs-preferences--1970 — Page 105

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

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As for the OECD developing countries Ir Miyazaki wos quite categorical that Spain still davoked Article XXXV and "that Grecco had discriminatory quotas against Japan (as I believe Portugal has). Trom what ho said it sounded as if only Turkey might conceivably qualify under the Japanese achome.

For the EEC Di Martino emphasised that the EEC had left no.-ond out in advance - not even countries who did not recognise the Community. On the other hand if the Japanese left out as beneficiaries countries who had davokod Article XXXV and the United States excluded a large number of countries who granted reverse preferences (as definca by the American) then this would make things very difficult for the Community.

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I merely said, of course, that our position was just what it always had been. We were genuinoly willing to grant preferences to any bona fide applicant but that UK public opinion could not be expected to accept a situation in which our list of beneficiarios was significantly longer than those of other major donor countries.

I suggested at one point that we might at least try to come to an arrangement about the OECD developing countries. Herbst agreed and argued that the Americans should not press their reverso. preference criterion against the ODCD lcos devoloped countries for whom it was not simply a question of renouncing ono or two spociol preferences but of changing what Herbst described as a now organic relationship with the Community or with EFTA as the case might be. Dr Crouk was not moved. I might add that the Spanish representatives came to see Sir John Chadwick before the Tredo Committee meeting and we told them quite frankly that wo would find it vory difficult to have a longer list of benofioleries than say the USA and that therefore we could not promise anything.

Last, but of course not least, Hong Kong. Very little was said about Hong Kong except that Di Martino said to me that this was a question that must be allowed to ripen (at least I understood him to day "purir", I hope it was not an Italian mispronunciation of "mounir".

I also got from Miyazaki that the Japanese were seriously reconsidering what to do about Hong Kong and from a conversation I had with Cronk and Poincillit it was evident that both of thon knew of the kind of arrangement the Commission have currently under consideration.

As usual these are yet more atraws in the wind and I would hesitata to make bricks out of them. There is a certain discrepancy between what Mr Endo told you and what I Miyazaki said in Faris but this

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