TNAG-0248-FCO40-284-Effect-of-entry-of-UK-into-EEC-on-exports-from-Hong-Kong-1970 — Page 127

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(e)

(b) and (c) have been effectively achieved by,

respectively, a mutual UK/SEC suspension of the

tariff on tea and tropical hardwoods, and EEC

trade agreements with India and Pakistan.

and (f) have been partially achieved by means

of substantial enlargement of the Community

quota arrangements under the LTA (covered by

Article 4 agreements); and by the negotiation..

of voluntary restraint agreements with India and

Pakistan on their exports on jute goods. In

addition, British arrangements for cotton tex-

tiles and jute have substantially changed or are

to be changed.

31. In the 1962 negotiations, the Six were

prepared to negotiate a trade agreement with the

proposed Federation of Malaysia (i.e. Malaysia

as now established, Singapore and Brunei) if the

Federation so requested and if this proved neces-

sayto maintain and develop mutual trade. Since

then Singapore has withdrawn from the Federation;

Brueni never joined it.-

32. The EEC Commission paper on the Common-

wealth of 1970 notes that solutions to the

probelms for these countries raised by our EEC

entry should be sought in terms of global trade

agreements, taking account of developments in th

field of the UNCTAD generalised preference

scheme. The paper also advocates a gradual

application of the CET on their exports to the

UK. We should aim to secure the Community's

agreement to review the position of the Asian

Commonwealth countries when the situation over

UNCTAD becomes clearor, bearing in wind what

happened in 1962. We should ensure that the

CET nil tariff on tea should be bound to the

GATT and not merely suspended.

/Malta