TNAG-0243-FCO40-279-Conduct-of-Hong-Kong-commercial-relations-1973 — Page 125

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(5) YOUR PARA. 5(11) NOTHING CAN BE RECALLED HERE TO SUPPORT

THE VIEW THAT OTHER GOVERNMENTS HOLD H M G RESPONSIBLE FOR HONG

KONG POLICIES IN THE COMMERCIAL FIELD.

7

(6) PARA, 6. THE FIRST SENTENCE IS INFELICITOUS AND CERTAINLY

IT WOULD BE CRITICIZABLE HERE IN THIS FORM. IT APPEARS TO IMPLY

THAT H M G'S CONSTITUTIONAL POWER OVER THE AFFAIRS OF A

DEPENDENT TERRITORY CAN BE EXERCISED FOR THE BENEFIT OF

PARTICULAR U.K. INTERESTS, WHICH IS NOT SO.

7) PARA, 6(A). I HAVE NO DIFFICULTY IN AGREEING THAT, IF THE

HONG KONG GOVERNMENT IS TO BE FREE TO CONDUCT ITS OWN POLICY,

HONG KONG MUST ACCEPT THAT RELATIONS BETWEEN U.K. AND HONG KONG

SHOULD IN CONSEQUENCE BE ON THE SAME BASIS AS THOSE BETWEEN

TWO COUNTRIES IN NORMAL RELATIONSHIP.

INDEED, THIS IS ON THE WHOLE

NOT UNWELCOME, FOR IN COTTONS HONG KONG HAS RECEIVED LESS THAN GATT

TREATMENT (A PRACTICE WHICH, I WOULD ACCEPT, IS TO SOME EXTENT

JUSTIFIED BY HONG KONG'S PRESENT DUTY FREE ENTRY FOR COTTONS).

I SHOULD POINT OUT, HOWEVER, THAT, AS YOU ARE RESERVING YOUR

RIGHT TO INTERVENE (PARA. 7), THIS CONSEQUENTIAL SITUATION MUST

ALSO BE REGARDED AS CONDITIONAL.

(8) PARAGRAPH 6 (B). AS RECEIVED HERE, THE LAST SENTENCE

QUALIFIES ONLY (B). I PRESUME IT IS MEANT TO QUALIFY BOTH (A)

.

AND (B). WOULD LIKE TO SEE INSERTED AFTER ADVICE OF THE in farm. 70%

GOVERNMENT OF HONG KONG SOMETHING LIKE IN A FORM OF WORDS

AGREED WITH THE GOVERNOR'',

/(10)/SIC/

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CONFIDENTIAL