CONFIDENTIAL
UNNECESSARILY ABOVE 1976 SENDINGS. THE ONLY DEROGATIONS FROM THE ABOVE PRINCIPLE SHOULD BE AS AGREED IN THE MANDATE IN THE CASES OF THE VERY POOREST DEVELOPING PRODUCERS, INDIA AND PAKISTAN. WE ARE GLAD TO SEE THAT THE COMMISSION HAVE ADVISED LESS HARSH TREATMENT IN THOSE CASES.
4. WE ARE CONCERNED ABOUT THE SIZE OF THE NEGOTIATING RESERVE WHICH THE COMMISSION HAS KEPT FOR SOME PRODUCTS, PARTICULARLY MEN'S WOVEN SHIRTS, T-SHIRTS AND PULLOVERS. RESERVES OF SUCH SIZE COULD BE USED IN SUCH A WAY AS TO UPSET THE SENSITIVE BALANCE OF DISTRIBUTION BETWEEN SUPPLIERS, IN SPITE OF THE CAREFUL AGREEMENT WHICH WILL HAVE BEEN REACHED WITHIN THE COMMUNITY BEFORE NEGOTIATIONS BEGIN. WE THINK THE RESERVES SHOULD BE REDUCED.
5. BOTH THE ABOVE CONSIDERATIONS (PARAS 3 AND 4) LEAD ON TO THE QUESTION OF REDISTRIBUTION OF CERTAIN QUANTITIES THUS MADE AVAILABLE. WE BELIEVE THE COMMISSION'S PROPOSALS, WHILE RIGHTLY TREATING THE DOMINANT SUPPLIERS MORE HARSHLY THAN OTHERS, HAVE GONE TOO FAR IN THIS DIRECTION.
BACKGROUND
E. THE PARTICULAR EXAMPLES GIVEN FOR INEQUITABLE DISTRIBUTION OF QUOTAS (SEE PARA 3 ABOVE) HAVE BEEN CAREFULLY CHOSEN. THE MOST GLARING IS THE COTTON CLOTH QUOTA TO BE OFFERED TO BRAZIL, A DOMINANT SUPPLIER FOR THAT PRODUCT, WHICH IS A MASSIVE INCREASE OVER 1976 SENDINGS. WE ARE AWARE OF THE COMMISSION'S FEELING THAT SUCH AN OFFER MUST BE MADE TO BRAZIL OTHERWISE SHE WILL NOT SIGN ANY AGREE- MENT. WE NEVERTHELESS BELIEVE IT IS INDEFENSIBLE IN TERMS OF THE TREATMENT METED OUT TO OTHER DOMINANT SUPPLIERS.
OWEN
Even more
so in
the case
Янк
FRAME EXTERNAL EID (E)
мк
Presumably Hk uked
deliberately
has been
-2-
ADDITIONAL DISTRIBUTION FRAME
COPIES TO:
MISS LOWNE DOI
MR. WRIGHT
MR. BUIST
MR. HARRIS MR. WHITE
CONFIDENTIAL
CRE I
DOT
ODM
CAB, OFFICE
TREASURY
No comments yet.
Private notes are available after approval.