TNAG-0306-FCO40-342-Equipment-for-technical-institutes-in-Hong-Kong-provision-of-1971 — Page 100

01-222-7877

Ext 2240

E O Laird Esq

Hong Kong Department

FCO

London SW1

ल

Dear Michael

HONG KONG

DEPARTMENT OF TRADE AND INDUSTRY

RDARIXDEXKKARE

1, VICTORIA STREET,

LONDON S.W.1

39

2 March 1971

LAST

REF

(18)

in

23/3

J

EQUIPMENT FOR TECHNICAL INSTITUTES

Thank you for your letter of 26 February enclosing a draft reply to the Governor's telegram 115. I would be quite content with this reply.

ODA letters of 11th and 15th refer to the possibility of a contribution from industry and ask for suggestions how this might be organised. The Secretary of State for Trade and Industry referred to this point of course in his minute of 15 February. His view was that industry could not be regarded as an alternative source for the £400,000 which at that time was thought to be necessary to implement Mr Royle's proposal. I must therefore record our understanding that the idea of a contribution was not a condition of the Secretary of State's decision; if he had discussed the point with Mr Davies we should have confirmed the advice we gave: that industry would resent any attempt to get something out of them so long as Hong Kong was achieving trading successes in the UK market and in competition with the UK in third markets.

I think it will be agreed that the Governor's telegram puts the matter in a new light. Although it does not enable us to say definitely how much money will be needed, it seems highly probable that so long as we stand strictly by the terms of the first sentence of paragraph 2 of FCO Telegram No 147 the eventual charge on aid funds will be substantially less than £400,000. In the circumstances I hope the idea of appealing to industry can be quietly dropped.

I am copying to Kisch.

Yours sincerely

Ivana

A F Toms

I han spoken bish Tow about the Suggesting at X above. Husna

bi kile

Ни

VIN RY No.51

the idea 2

AR 1971

an

olgen in оврем

opped

6 Insurting.

Anil ah

ヒ

الا

ちょ