1.
11.
WE COULD ONLY AGREE TO TRANSFERS OF ENTITLEMENT INTO GROUP IV FROM GROUP 111. WE HAVE NOTED. THAT THE EEC AGREEMENTS INCLUDE IN ONE GROUP FINISHED CLOTH AND MADE-UP ARTICLES BUT GREY CLOTH IN ANOTHER AND WE WISH TO OBSERVE THIS ABSOLUTE DISTINCTION.
IN ANY TRANSFER OF ENTITLEMENT FROM GROUP 111 INTO GROUP IV THE EFFECT WOULD BE TO ALLOW GOODS OF A HIGHER. VALUE TO BE EXPORTED. TO TAKE ACCOUNT OF THIS THE TRANSFER OF YARDAGE SHOULD BE ACCOMPANIED BY A SCALING DOWN OF THE QUANTITY ACCORDING TO A FACTOR WHICH WOULD REFLECT THIS DIFFERENCE IN VALUE. THIS FACTOR SHOULD BE AGREED MUTUALLY BETWEEN US.
11. ANY TRANSFER SHOULD BE INTO THE N.E.S. CATEGORY OF GROUP IV. IT COULD THEN BE SWUNG INTO OTHER CATEGORIES WITHIN THE GROUP
IV.
V.
IN ACCORDANCE WITH RULES CONTAINED IN THE ARRANGEMENTS
PREVIOUSLY UNDER DISCUSSION BETWEEN US.
IN TRANSFERRING FROM GROUP 111 A LARGER ENTITLEMENT THAN WAS ENVISAGED IN THE ARRANGEMENTS PREVIOUSLY UNDER DISCUSSION, THIS SHOULD BE DEDUCTED NOT ONLY FROM THE OVERALL GROUP CEILING BUT ALSO FROM THE SENSITIVE CATEGORY CEILINGS, IN SOME MEASURE AND IN PROPORTIONS TO BE MUTUALLY AGREED.
WE HAVE NOTED THE VIEWS OF THE TEXTILE ADVISORY BOARD THAT ANY TRANSFER SHOULD RESULT IN AN ADDITIONAL ENTITLEMENT OF 10 MILLION SQUARE YARDS IN GROUP IV, SUBJECT TO AGREEMENT ON THE DETAILS OF THE PRINCIPLES OUTLINED ABOVE, HMG WOULD BE PREPARED TO NEGOTIATE ON THE BASIS OF A FIRM PROPOSAL FROM HONGKONG
CONTAINING THIS SUGGESTED FIGURE.
2
CONFIDENTIAL
/4. YOUR
No comments yet.
Private notes are available after approval.