TNAG-0302-FCO40-338-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 67

which was only reached after prolonged and careful study, and which

was supported by a majority on both sides of the industry.

domestic industry wants this protection and expects this

The

protection and, indeed, the more efficient sectors of the

industry have been working towards the restructuring of the industry

relying on tariff protection alone. It would, in short, be

impossible to avoid a major row with the industry if we abandoned

at this late stage our plan to impose a tariff on imports from

the Commonwealth. And abandonment would do nothing to benefit

our relations with the Community or to ease our alignment to their

policies their concern generally is to ensure that, with the

minimum of delay, the UK market and thus eventually theirs is

made less vulnerable to low-cost textiles. Thus the movement on

1 January 1972 to the tariff the level of which is in line with.

the common external Tariff of the EEC is not only expected by

our own domestic industry but will be welcome to the Community

as going part of the way in the 'right direction'.

we

This

I have considered the wisdom of abandoning quotas when we

introduce the tariff in 1972. We are facing a new and different

set of conditions from those applying when we made the decision

to abandon quotas. By our decision not to seek a derogation,

are required to impose quantitative restrictions in 1973.

requirement, combined with (i) evidence of increased quantities

of cheap textile imports already in the pipeline for early next

year and the risk of a further rise in imports once the requirement

to introduce quantitative restrictions under the EEC regime in

1973 becomes known and suppliers rush to build up base positions and

(ii) vociferous complaints from sections of the cotton and allied

textile industry in Lancashire that the new tariff on

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