CODE 19-77
NONE FOR THE RECORD
cc Mr Lam CRE1
Mr Sanders CRE2
-Mr Wilford
FCO
Miss Lowne CT1
Mr McEnery
CT2
CONFIDENTIAL
16
EV
19,
Kavi
M: Hale
We out have thinão
T
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He nepolichins
TEXTILES : HONG KONG
Mr Haddon-Cave had a private talk with me on 13 January, before we resumed formal negotiations later that afternoon. Much of what we said was subsumed in the later stages of the negotiations; but he told me of the ameliorations in the UK/HK cotton textiles agreement to which his industrial advisers attached most importance, and we also had some further talk about non-cotton textiles.
2 The list of cotton textile priorities was related to the second of the propositions which the Hong Kong side had put to us on 12 January (i e straight changes in the existing Heads of Agreement) and starred according to importance:
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d.
e.
transfer of yardage from Group II to Group IV
15% increase in Group IV category limits increase in category limits with 80% or more
performance in 1971
increase in Category 9 yardage to 1million
square yds
combining Categories 11 and 12a
the category 3 and 10 proposal (which neither side proved subsequently to understand very clearly)
15% increase in Categories 4,5,6 and 7
increase in Categories 4 & 7 only
h. merger of Group I categories
ذني
upswing between groups and cross-swing
between categories
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