TNAG-0303-FCO40-339-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 48

8. THE QUOTAS FOR 1972 WILL BE INCREASED BY 1 PER CENT AS IN EARLIER YEARS.

9. THE BRITISH GOVERNMENT ARE NOT PROPOSING TO CHANGE THE ARRANGE- MENTS ALREADY NOTIFIED TO THE ..... GOVERNMENT WHEREBY COTTON TEXTILES EXPORTED IN 1971 FROM RESTRICTED COMMONWEALTH PREFERENCE AREA COUNTRIES AND LICENSED AGAINST THE 1971 QUOTAS BUT ARRIVING AFTER 1 JANUARY 1972 MAY BE RELIEVED OF THE NEW TARIFF.

10. TO AVOID EXCESSIVE CONCENTRATION OF IMPORTS IN THE EARLIER PARTS OF 1972, THE BRITISH GOVERNMENT COULD NOT AGREE THAT EXCESS SKIPMENTS IN 1971 SHOULD BE LICENSED IN ANTICIPATION OF THE 1972 QUOTAS. CONTRACTS ALREADY PLACED FOR SHIPMENT AFTER 1 JANUARY 1972 MUST BE ACCOMMODATED WITHIN THE 1972 LIMITS. NO COTTON TEXTILES FROM RESTRICTED COUNTRIES WILL BE ADMITTED INTO BRITAIN IN 1972 WITHOUT AN INDIVIDUAL IMPORT LICENCE ISSUED BY THE DEPARTMENT OF TRADE AND INDUSTRY.

11. THE BRITISH GOVERNMENT HOPE THAT THE ..... GOVERNMENT AND OTHER GOVERNMENTS WILL BE WILLING TO CONTINUE TO ADMINISTER IN 1972 THE BILATERAL RESTRAINT ARRANGEMENTS WHICH THEY HAVE HITHERTO APPLIED, SUBJECT TO THE USUAL 1% GROWTH. GOVERNMENTS CONTINUING TO ADMINISTER QUOTAS ARE REQUESTED TO REGARD AS A FIRST CHARGE AGAINST THESE QUOTAS ORDERS MADE BEFORE THE DATE OF THE ANNOUNCEMENT IN PARLIAMENT AND CONFIRMED BY IRREVOCABLE LETTER OF CREDIT. IF SUCH ORDERS EXCEED QUOTAS IN ANY CATEGORY, GOVERNMENTS SHOULD INFORM THE BRITISH GOVERNMENT OF THE EXCESS. THE BRITISH GOVERNMENT CANNOT UNDERTAKE TO ADMIT IMPORTS IN EXCESS OF QUOTAS.

12. THE BRITISH GOVERNMENT ASK FOR CONFIRMATION FROM THE

GOVERNMENT, NOT LATER THAN 31 DECEMBER 1971, THAT THEY ARE PREPARED TO AGREE TO THE ARRANGEMENTS IN PARAGRAPH 11. SHOULD THE

GOVERNMENT FEEL ITSELF UNABLE TO AGREE BY THAT DATE, THE BRITISH GOVERNMENT WOULD ADMINISTER THE QUOTAS THEMSELVES.

ENDS

DOUGLAS-HOME

NNNN