TNAG-0302-FCO40-338-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 63

meeting with the Indian Prime Minister as recently

as 1 November that there would be no change in our

position until after we went into the FC.

Hong

Kong

14. In September 497

My Rippon teld Hopping

that "he foresaw no danger of Hong Kong having to

face both tariffs and quotas before British entry

into the EEC".

Pakistan

15.

Although the Pakistanis will not stand to lose

so much by the imposition of tariffs and quotas,

they will nevertheless be dissatisfied at our

repeated changes in policy and they are very likely

to register a vigorous protest.

1

SUMMATION

The outcome of the proposed policy w be that

we shall be accused

faith;

and justly of breaches of

dram

that in following a protectionist policy

At Annex Cis a selection of statement to

Hong Kong. The kay

G{(me then bot

was that made

by Mr. Rippor

who raid in

September 1970

of increased protecti

we shall be in breach of both the spirit of the LTA

and the letter of the GATT; that by bowing to the

demands of Lancashire we shall be adding to the

present undesirable trends towards protectionism;

and that we shall be under heavy fire not only in

the Cotton Textiles Committee but also at the UNCTAD

meeting next April.

Pecommendation

17. I therefore recommend that the FCO should

have both

strongly resist the proposal to retain quotas

and tariffs in 1972 on the grounds that:

(a) we are bowing to unjustified pressure

from Lancashire;

(b)

to make such a major switch in policy

can only be made when market disruption

is proven;

P

NOTHING TO BE. WRITTEN IN THIS MARGIN

NOTHING TO BE WRITTEN IN THIS MARGIN