TNAG-0244-FCO40-280-Exports-of-textiles-from-Hong-Kong-to-USA-1970 — Page 114

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problems caused by cotton imports;

there was no such

instrument for non-cottons.

Furthermore he presumed that

when the cotton comprehensive bilateral agreement was

negotiated certain compensations were given to Hong Kong

in exchange for extending coverage to items which Hong Kong

did not ship.

84.

Mr. Nehmer expressed the view that at the time

the cotton agreement was made Hong Kong was prepared to

sacrifice principle for square yards; in this case

Hong Kong seemed to be standing on principle. Sir Eugene Melville

thought the principles very important and that it was therefore

necessary for them to be considered by the G.A.T.T.

Mr. Nehmer

felt that there was no new principle involved in the U.S.

proposals which were merely extensions of the principles

already established for cotton.

85.

Sir Lugene Melville said the circumstances in

which the L.T.A. was negotiated were quite different from

those which applied today to non-cottons.

The L.T.A. was

to give the cotton industries of the developed countries

time to adjust to changed circumstances;

need for the non-cotton industries.

there was no such

86.

Mr. Blackman expressed himself taken aback at

the notion that restraint should not be imposed on items

which Hong Kong was not exporting. Did this mean that'

Hong Kong would welcome restraint on those items which it

/was

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