TNAG-0463-FCO40-528-Entitlement-of-Hong-Kong-to-EEC-Generalised-Scheme-of-Prefer-1974 — Page 147

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GRS 300A

CHER/CAT A

FM UKREP BRUSSELS 18130WZ

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1974

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(56) (5+)

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TO ROUTINE FCO TEL NO 2310 OF 18 MAY,/ INFO UKMIS GENEVA, INFO SAVING

EEC POSTS.

MIPT.

RE:

RECT

*O JUL 1974

1

1. WHAT THE DISCUSSION IN MIPT SHOWS IS THE FOLLOWING. IN THE

COMMISSION'S PROPOSAL TO BE MADE TO THE COUNCIL ON 19 JUNE AND

TO BE THE SUBJECT THEN OF DISCUSSION IN THE GPS WORKING GROUP :-

(A) THERE WILL BE A RESIDUAL SENSITIVE LIST.

(B) THERE WILL BE SPECIAL LIMITATIONS FOR THE MOST COMPETITIVE, AND

A TIGHT SURVEILLANCE SYSTEM TO MAKE IT BITE.

(C) THERE WILL STILL BE THREE CATEGORIES OF PRODUCTS: SENSITIVE

(NATIONAL QUOTAS) SEMI SENSITIVE (CEILINGS) AND OTHER (NO RESTRICTION IN PRACTICE) THE SENSITIVE AND SEMI SENSITIVE

INCORPORATE BUTOIRS ON BENEFICIARIES.

(D) THE PROPOSED INCREASES WILL BE BY ARBITRARY AMOUNTS IN THOSE

CASES WHERE THE 19TH FIGURE DEPARTED FROM THE OVERALL CRITERIA. (E) HONG KONG MAY BE IN FOR FOOTWEAR BUT IF IT IS IT WILL BE SUBJECT

TO HIGHLY COMPETITIVE” LIMITATIONS.

IN THE WORKING GROUP WE CAN EXPECT:

(F) PRESSURE TO LENGTHEN THE SENSITIVE LIST.

(G) PRESSURE AGAINST THE HIGHLY COMPETITIVE BENEFICIARIES.

(H) ATTEMPTS TO CUT BACK QUOTA AND CEILING FIGURES PROPOSED BY THE

COMMISSION (INCLUDING THE GENERAL 50% BUTOIR).

2. IN MY TEL NO 2144 I SAID THAT I WOULD PREFER TO HOLD MY FIRE BEFORE APPROACHING THE COMMISSION AT HIGH LEVEL ON GPS. NOW THAT THE GROUND HAS BEEN BROKEN WITH COMMISSION OFFICIALS (YOUR TEL NO 451) AND THAT THE LATTER WILL NOW BE PUTTING UP THEIR 1975 PROPOSALS

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/TO THE