TNAG-0384-FCO40-430-Trade-relations-between-Hong-Kong-and-the-EEC-1973 — Page 40

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B) PARAS 4 AND 5. WE HAVE ACTIVELY SUPPORTED THE TRANSFER OF ITEMS ON THE SENSITIVE AND SEMI-SENSITIVE LISTS ON A SELECTIVE BASIS AND FOLLOW A SIMILAR LINE ON THE BUTOIRS. BUT THE QUESTION

OF A COMMUNITY RESERVE IS MORE DIFFICULT. THE DANGER IS THAT BY ONE MEANS OR ANOTHER THE MORE RESTRICTIVE COUNTRIES WOULD NOT EXHAUST THEIR QUOTAS SO THAT THE RESERVE WOULD THEN BE USED TO SWELL IMPORTS INTO THOSE MEMBER COUNTRIES WHERE IMPORTERS ARE MORE ACTIVE - PARTICULARLY GERMANY, THE UK AND PROBABLY DENMARK.

DOUGLAS-HOME.

EUROPEAN EZONOMIC DISTRIBUTION

EID

ADDITIONAL

DISTRIBUTION

1

FRAME

-2-

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