TNAG-0245-FCO40-281-Exports-of-textiles-from-Hong-Kong-to-Sweden-1970 — Page 27

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G.F. 323

CONFIDENTIAL

21 -

Fifth Plenary Session

-

Tuesday, 2 June 1970 12.30 p.m.

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79.

Baron de Geer stated that he had given careful thought to the two remaining items:-

(a) Knitted shirts and sweaters

He referred to the proposed level of 851 and stated that at the very most he could now go to was 870.

(b) Underpants

He made reference to the Swedish proposed level of 5,500 and Hong Kong's counter offer of 6,000. He stated that he was now authorised to go up to 5,700 on the understanding that the men's and women's levels would not exceed 1,400 and 4,800 respectively.

80.

Mr. Ho stated that although he was still disappointed with the latest offers he felt that at this stage it would be unfruitful to embark on a further long speech to justify higher levels. He therefore accepted the offers.

81.

Mr. Ho then reverted to the proposed level of 2,000 for woven synthetic garments which might be made up as follows

Nightgarments

Blouses

Shirts

340 (Swedish 1969 Imports)

923 (Swedish 1969 Imports)

625 (1969/70 Level) 1,888

rounded up by

112

2,000

and sought confirmation for presentational purposes that the additional 112 represented growth on woven dress shirts and compensation for the inclusion of other than dress shirts.

82.

Baron de Geer observed that as the levels for blouses and nightgarments were not in dispute the remaining figures could only be in respect of shirts. Mr. Ho then accepted the level of 2,000.

83.

The two delegations then went over the drafts of an agreement and an E/A letter tabled earlier by Mr. Ho, on the basis that the agreement reached was ad referendum both governments.

84.

In reply to a query by Mr. Revelius, Mr. Ho confirmed that the phrase "not elastic or rubberised" in the description of underpants and the like did not exclude stretch garments from restraint.

85.

Baron de Geer said that the Swedish Government was apprehensive about a flood of exports from Hong Kong in respect of the new items before the agreement commenced on 1 July. not be acceptable to the Swedish Government. that as soon as the agreement has been endorsed in Hong Kong, the

Such a situation would

Mr. Ho said he envisaged

/Commerce

CONFIDENTIAL