TNAG-0301-FCO40-337-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 16

Co

The Chancellor

of the Exchequer

The Minister of

Trade

CONFIDENTIAL

MINUTE

The Secretary of State

The Prime Minister

TYPORT OF COTTON TEXTILES

ARTPES ON 1 JANUARY 1972

[Dand B]

1.

TRANITION PROM NOTAS TO

In April Vichael Moble and I asked Tony Barber

to agree to include in the Pirance Bil: & provocal to

relieve from duty, for the first 3 months or 1972,

importe of cotton textiles from develocirg countries in

the Commonwealth freference Axes, which are shipped under

quota in 1971 out do not arrive here anti. 1972.

2. While Tony Barber, in his letter of 17 Way to

Michael Noble, agreed that legislation would be desire-

wished able, he wreed to avoid a final commitment to the

introduction of the proposed clause until he could see

how the Committee Stape of the Finance Fill was going.

In a further letter from the Treasury of 11 June, we

I to agree have now heard that Treasury Ministers are unable

include the proposed clause.

3.

India, Pakistan and Hong Kong, as you know, have

@lways objected strongly to the decision to impose

duties on Commonwealth cotton textiles, and have claimed

that we have failed to take proper account of the

impact of that decision on their trade. I understand

that Willie Whitelaw cannot find time ir a special

CONFIDENTIAL.