TNAG-0628-FCO40-776-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 199

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4.

To allay the concern expressed by most delegations, the Commission very recently submitted a further working document in which it maintains the country-by-country method but spells out in greater detail the procedures it intends to adopt to resolve

the problems of cumulative market disruption, while avoiding

fundamental changes in the MFA.

Without prejudice to the positions of principle taken up by individual delegations over the methods to be employed (see 3. above), the working document was examined in detail during the Permanent Representatives Committee's discussions (1).

In the light of those discussions, which enabled further details or clarification to be given on most points in the

working document, a new version of that working document was drawn up; it appears in Annex I to this note (2).

1) It should be noted that the French delegation took part in the meeting only for the part of the Commission document dealing with the definition of stabilization.

(2) It should be noted that some delegations made the point that

they had already suggested at the last Council meeting that the list of sensitive products to come under the approach suggested by the Commission see Annex I, section B.2.(ii) 7 should be extended to include the following: bouclé fabrics, bed linen, men's suits and jackets, socks, coats.

Those delegations noted that the list should not be regarded as exhaustive and the market situation for the products concerned would also be examined in the context of the overall assessment which was to be carried out before the end of May 1977.

S/670 e/77 (COMER 136) lby/SMS/ab

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