TNAG-0304-FCO40-340-Effects-of-tariffs-on-imports-of-cotton-textiles-to-UK-from--1971 — Page 16

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Hongkong Standard

86/12/71

HK textile groups protest on now British restrictions

SIX leading textile organisations in Hongkong yesterday made a strong protest against a restrict Hongkong textiles entering the UK.

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A statement issued by the group said yesterday they had received reliable information that Britain has decided to impose quota control on Hongkong textiles, in addition to the Commonwealth tariff taking effect on January 1, 1972.

This move, the statement said, was in contravention of earlier British promises.

The statement closely follows the Hongkong Government's decision to send the Financial Secretary Mr C.P. Haddon-Cave and Commerce and Industry Department deputy director Mr E.P. Ho on an urgent mission to London to discuss textile trade with Whitehall.

In its statement yesterday, the textile industry pointed out that in 1969 while deciding to replace the present quota system

by

Ricky Cheung

by a Commonwealth preference tariff, the British Board of Trade president had told the British Parliament that under the new arrangement Britain would consider the use of quota "only on particular products under the Long Term Cotton Arrangement of the GATT, and only if total imports of cotton textiles rose significantly above the present level and caused disruption to the market in those particular products.”

To decide to introduce quotas again now on Hongkong exports, the statement said "is therefore completely contrary to what the British Government herself said before."

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The organisations opposing the British include Hongkong Garment Manufacturers Association, The Federation of Hongkong Garment Manufacturers, The

Federation of Hongkong Cotton Weavers, The Hongkong Weaving Mills Association, The Hongkong

Goods Made-Up Manufacturers Association and Hongkong Printers and Dyers Association,

Industrial sources said last night the British decision to disregard her carlier promises was the result of mounting pressure on Whitehall from the powerful British textile industry and trade unions.

British textile industry fears that the US move will lead Asian textile producers, particularly the Commonwealth partners, to flood the British market with the textiles turned away from the US.

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But in their statement yesterday Hongkong industrialists said there was no factual case the British Government to restrict Hongkong textiles.

for

The British

decision, they said, "illustrates the absence of a sense of moral obligation of the British Government towards Hongkong people."