TNAG-0246-FCO40-282-Imports-of-textiles-from-Hong-Kong-to-UK-1970 — Page 41

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5. I duly attended the talks.

They were rough and tough

and much of the sour atmosphere was due to the incorrigible

Mr Stewart's mishandling and unfortunate manner. Hong Kong

thought very little of the U.K. case but were prepared to con-

sider what they could do to help in this particular sector

provided adequate compensation was offered. Mr Stewart was

reasonably generous in his offer of compensation and the Hong

Kong negotiating team (led by Mr Jordan) was prepared at the

close of the discussions to place before the Cotton Advisory

Board a package deal involving reduction in the sheeting sub-

quotas to agreed levels and roughly equivalent compensation in

other categories.

6. The record of these discussions (the only version avail-

able was provided by Hong Kong) need not concern us except to

note that the only reference of substance to the question of

growth is in para 48. Throughout this record there is no dir-

ect reference to the question of growth as it affected these

discussions, or to the point made in the seventh paragraph of

the Aide Memoire that "HMG would also find it very difficult to

contemplate any increase in imports of wide sheeting and sheets

from India and Hong Kong in the period up to the end of 1970

when the present Agreement expires". Nor do I recall any

reference to these matters.

7. The discussions were concluded late on 6th September,

with Hong Kong undertaking to telegraph their decision to Mr

Stewart in New Delhi after consultation with the Cotton Advis-

Mr Stewart departed very early the following morn-

Before he left our hotel, he pushed a note under my door,

written on the back of an envelope. It authorised me to offer

ory Board.

ing.

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