TNAG-0303-FCO40-339-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 82

IMMEDIATE

CYPHER/CATA

FM F C O 291250Z

SECRET.

NEUTRAL.

DESKBY 301300Z.

SECRET

99

TO IMMEDIATE COLOMBO TELEGRAM NUMBER 575 OF 29 NOVEMBER

AND TO CERTAIN POSTS.

COTTON TEXTILES:

FOLLOWING IS DRAFT OF AIDE MEMOIRE REFERRRED TO IN FCO TELNO

1687 TO NEW DELHI.

YOU SHOULD TAKE NO, REPEAT NO, ACTION PENDING RECEIPT OF

INSTRUCTIONS.

2.

AS THE

GOVERNMENT WILL BE AWARE, THE BRITISH

GOVERNMENT ANNOUNCED IN JULY 1969 THAT ON 1 JANUARY 1972

GLOBAL'

A TARIFF WOULD BE INTRODUCED FOR COTTON TEXTILES IMPORTED FROM

THE COMMONWEALTH PREFERENCE AREA. THE GOVERNMENT ALSO ANNOUNCED -

THEIR INTENTION OF ENDING AT THE SAME TIME THE EXISTING

GENERAL QUOTA SYSTEM WHICH RESTRICTS IMPORTS OF COTTON YARN

AND WOVEN COTTON TEXTILES FROM INDIA, HONG KONG AND THE COMMON-

WEALTH AND NON-COMMONWEALTH COUNTRIES INCLUDED IN THE

SCHEME: AND OF CONFINING THE RE-INTRODUCTION OF QUOTAS

AFTER 1 JANUARY 1972 TO SPECIFIC CASES WHERE TOTAL IMPORTS

ROSE ABOVE PRESENT LEVELS AND CAUSED DISRUPTION TO THE MARKET

FOR THE PARTICULAR PRODUCTS CONCERNED. IT WAS MADE CLEAR

THAT THESE DECISIONS WOULD BE SUBJECT TO ANY MODIFICATION REQUIRED IF WE JOINED THE EEC.

3. IT REMAINS THE BRITISH GOVERNMENT'S INTENTION TO INTRODUCE

THE NEW TARIFF WHICH HAS NOW BEEN LAID BEFORE PARLIAMENT FOR

APPROVAL.

SECRET

4. THEY HAVE