TNAG-0250-FCO40-286-Discussions-on-EEC-negotiations-between-officials-of-Hong-Ko-1970 — Page 67

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offer as contained in Codel telegram No.299.

He said that the EEC had proceeded rather faster with the Generalised Preference Scheme

than we had expected. Mr. Hannay said that

the Working Group of the Community was discussing the modalities of the Generalised

for Hory Komp

Preferences Scheme offer, rather than its

principles. It was possible that they would

get bogged down and would put in a dis-

agreed recommendation. It was difficult

to say at this stage when we could get into

the act. Sir D. Trench asked whether the

proposals contained in Codel telegram No.

299 applied only to Hong Kong or to other

beneficiaries as well. Mr. Hannay said

they applied only to Hong Kong: the Working

Group's terms of reference were confined

to Hong Kong and they were not qualified to make recommendations other territories.

Turning to the question of relief or

compensation to Hong Kong for the effects of

British entry into the Communities, Sir

7.

J. Cowperthwaite said there had been examples of countries refunding the proceeds of

duties to their dependent territories. Duty free entry helped Hong Kong's trade; to impose a tariff would effect it adversely.

They were not thinking in terms of a refund

to the producers adversely effected but

rather regard-

a contribution for the

population of Hong Kong general benefit of the Zommunity.

Sir C.

O'Neill said that if we contemplated such

/a course

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