TNAG-0248-FCO40-284-Effect-of-entry-of-UK-into-EEC-on-exports-from-Hong-Kong-1970 — Page 63

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CONFIDENTIAL

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Negotiating Brief on Problems for Commonwealth Countries

and dependent territories raised by British Application

for Membership of the EEC

This paper deals with those problems for Commonweal th countries which are not covered in other negotiating briefs. It does not touch upon capital movements, the movement of labour, the special problems of New Zealand or the Commonwealth

Sugar Agreement.

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In 1961/3 a major part of the negotiations was concerned with seeking safeguards for Commonwealth interests. A good deal has happened since then which tends to make the problems much more manageable. Between 1959 and 1969 the Commonwealth share in United Kingdom imports fell from 35 per cent to 23 per cent and in our exports from 36 per cent to 22 per cent. 30

During the 60s South Africa has left the Commonwealth, Canada has become even more closely enmeshed in the United States economy, and Australia, and to a less extent New Zealand, have reorientated their trade, largely towards Japan. Nevertheless New Zealand is still highly dependent on the United Kingdom market for foodstuffs, especially dairy products. The Asian Commonwealth countries produce a much higher proportion of manufactured goods than most other developing countries. The UNCTAD scheme for generalised

If all goes favoure preferences may how make it possible for these goods not only to enjoy free entry into the United Kingdom, but to get it in the rest of the EEC and other developing countries. major item in their trade is, of course, textiles, and during the 1960s we and other developed countries have

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CONFIDENTIAL

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