TNAG-0299-FCO40-335-Entitlement-of-Hong-Kong-to-generalized-tariffs-preferences--1971 — Page 78

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10, Downing Street

Whitehall

I recall with pleasure our most useful meeting in New York last

October. In the course of our talk then on some of the economic

questions facing us, I stressed the importance which we attached

to the inclusion of Hong Kong in the Japanese scheme of generalised

preferences. I was very pleased therefore, when I saw your statement

in the Dict on 23 March recognising Hong Kong's suitability as a

beneficiary.

I

I understand, however, that the list of "sensitive" Hong Kong exports

now under consideration in Tokyo, is giving rise to difficulties.

am sure that this should not prevent a worthwhile offer to Hong Kong,

and I very much hope that you will find it possible to include

Hong Kong and other British dependent territories from the outset

in your preference scheme, as have the EEC.

I know that the Hong Kong Government are ready to send officials to

Tokyo to discuss any outstanding problems. I believe that such

discussions might lead to a rapid resolution of the difficulties, and

I suggest that they should, if possible, take place before the end

of this month. In this way, Sir Alec Douglas-Home and Mr Aichi can

have before them the necessary details, should there remain any

points still to be cleared up when they meet in London next month.

SGD (E.H.)

His Excellency Mr. Hisaku Sato