TNAG-0365-FCO40-411-Relations-between-Hong-Kong-and-international-organisations-1973 — Page 94

CONFIDENTIAL

CANADA

38. Canada intended to apply for membership of ECAFE at the 27th Session, but in the end decided to withdraw her application, not because of lack of support among regional members (she claimed) but owing to the broader issues raised by the ECAFE Secretariat and UN legal opinion. We understand that Canada has no intention of raising this question again until the climate becomes more favourable but the Canadians generally attend ECAFE plenaries as observers and there may be some corridor discussion on this matter. The Delegation should refer to the following notes for defensive

use.

39. During the month prior to the 27th Session, the Canadians lobbied extensively in regional and non-regional capitals for support of their application and succeeded in finding two regional sponsors, Malaysia and Japan. The UK welcomes Canada's interest in the ECAFE region but her application for membership would require a major amendment to ECAFE's Terms of Reference which at the moment restricts its area of activities to Asia and Oceania. The 5 non-regional members who traditionally act with restraint in ECAFE, originally gained membership of the Commission through their Dependent Territories in the region.

40. Should Canada be admitted as a regional member, an awkward precedent might be set for membership of the other Economic Commissions, and should she be admitted as a non-regional member there might follow a change in the Terms of Reference prejudicial to the interests of the existing non-regional members. Such a situation might in fact provide regional members with an opportunity to press for the down-grading of the status of non-regional members (see paragraphs 57 to 61 below).

41.

We do not wish to offend the Canadians and we recognise the benefits their membership might bring ECAFE, but the Delegation should adopt a passive stance in any discussions on this topic and should concert with other friendly delegations if there are any suggestions to alter the status of non-regional members.

EEC

Commonwealth Asian Countries and the EEC's Declaration of Intent

42. Asian Commonwealth countries (and Pakistan) are understandably concerned about their loss of preference in the UK market following Britain's accession to the EEC. There are however a number of mitigating factors.

(i) the loss of preference will be gradual, spread over the

period 1 January 1974 to 1 July 1977.

(ii)

certain important exports from the area (bulk tea, oilseed cakes, raw cotton and raw jute) should continue to enjoy duty-free entry because the common customs tariff is nil or suspended at nil.

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CONFIDENTIAL

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