TNAG-0337-FCO40-373-Visit-of-the-Chancellor-of-the-Duchy-of-Lancaster--Sir-Geoff-1972 — Page 70

MR RIPPON'S TOUR:

DRAFT

HONG KONG

BRIEF

II French Discriminatory Import Restrictions

France maintains a fairly extensive list of import quotas against third countries including some against ex-OELC countries in default of her GATT obligations.

She is the

only one of the Six Member States of the ELC applying restrictions on a significant range of itens against Hong Kong. 2. In the GATT Joint Working Group on Import Restrictions Hong Kong has made the point that her exports are severely limited by France, especially in textiles where some items which are not restricted by other countries are the subject of French quotas; in other cases, general restrictions apply

with special severity to Hong Kong's trade.

In the view

of Hong Kong, restrictions on these and other items are unilateral quotas imposed by the French authorities without the agreement of the authorities either of the UK or of

Hong Kong.

3. France has replied by referring to the problems of French industry and holds out little hope of liberalisation. She pointed out that the specific Hong Kong quotas were the result of annual consultation with Hong Kong authorities and many items were subject to restraint from other sources. 4. Hong Kong has always been hopeful that the UK's ontry into the EEC would result in the qlleviation of this problen. 5. France's continuing import restrictions have hindered

the development of the DIC's Common Commercial Policy in this field. The Common Liberalisation List is in fact only a

consolidated list of items already liberalised by all

Member States and some items excluded from the common list

1