TNAG-0628-FCO40-776-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 130

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XCCI(77)3

An informal group of developing Asian textile producing countries was formed in early 1976 under the auspices of ESCAP (United Nations Economic and Social Commission for Asia and the Pacific) with a view to reaching, as far as practicable, a common position on the future of the MFA.

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In early May 1977, the Commonwealth Secretariat organised, and Hong Kong hosted, a Seminar on the MFA for Commonwealth developing countries. Non-Commonwealth developing countries in the ESCAP region, such as South Korea and Thailand, also participated. Most of the papers and speakers were provided by Hong Kong and the opportunity was taken to impress upon the participants the need for the developing countries to take a common position to oppose the restrictive changes being advocated. The purpose of the Seminar was not to achieve a common position but rather to exchange views and experiences. Nevertheless, it concluded with a summing up by the Chairman which envisaged a follow-up in the form of further informal meetings among developing countries in Geneva before the next Textiles Committee meeting. As a result of these developments, Hong Kong is now in a strong position to influence the thinking of developing countries.

Conclusion

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The Textiles Advisory Board has endorsed a proposal by the Director of Commerce and Industry that Hong Kong should adopt the following positions:

(a)

continue to seek extension of the MFA without modification and press for an early decision on this;

(b)

(c)

(d)

use whatever influence it has with developing countries to ensure that they too continue to aim for the same goal;

maintain communication with the UK to question the soundness of its present policy, so that in the event of an impasse, either in the EEC or in the Textiles Committee, the UK might be prepared to adopt a policy less inimical to Hong Kong's interest;

seek to conclude a new bilateral agreement with the US and, if requested, enter into negotiations with the EEC, with a view to letting the trade know as

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