TNAG-0629-FCO40-777-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1988 — Page 60

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(e) we should try to avoid a situation in which, if the new British consortium loses the CLP contract, this is blamed on a swing of opinion against Britain due to a bad textile deal;

(f) if there is no alternative to obliging Hong Kong to swallow what it believes is bitter medicine, then there is much to be said for letting Sir M MacLehose be seen to have stated Hong Kong's case in person. Conversely, if he does not do so, there will be a body of opinion in Hong Kong asserting that Britain is preventing him from doing so (and I would expect this body of opinion to discover sooner or later that Ministers had favoured concessions for India and Pakistan but not for Hong Kong).

4. I see no reason to burden Ministers with HKGD's detailed analysis of Hong Kong's case, but if the whole matter has to be submitted to them I think it would be right to say that we have reservations on the strength of this case, at least as it has been presented.

9 September 1977

Releton.

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