TNAG-0630-FCO40-778-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1988 — Page 17

CONFIDENTIAL

2. IN THESE CIRCUMSTANCES IT SEEMS TO ME THAT WE HAVE ONLY TWO CHOICES:

(1) TO STAND FIRM ON OUR PRESENT LINE UP TO THE 18 OCTOBER COUN- CIL, WITH NO GUARANTEE OR EVEN PROBABILITY THAT THE COUNCIL WILL THEN GIVE US WHAT WE WANT EITHER ON COTTON YARN OR ANYTHING ELSE.

TO ALLOW THE MANDATE TO BE APPROVED BY THE WRITTEN PROCEDURE BY WEDNESDAY AT THE LATEST, ACCEPTING THE COMPROMISE ON COTTON YARN AS THE BEST WE ARE LIKELY TO GET, AND USING TO THE FULL THE ARTICLE 113 COMMITTEE PROCEDURE TO SAFEGUARD THE UK POSITION ON INDIVIDUAL PRODUCTS AS THE NEGOTIATIONS PROCEED, THE DAVIGNON MESSAGE IS INTEND-

ED TO SERVE IN THIS CONTEXT AS AN EXTRA CONSTRAINT ON THE COMMISSIONS

NEGOTIATORS,

FCO COPY TO:

FCO STERN, FRETWELL, BUTLER

CAB

DOI

DOT

FRANKLIN, RENWICK, HARRIS

RIDLEY, HUDSON, MISS LOWNE, BROWN

PS/MR DELL, GRAY, HELLINGS, MISS MACFARLANE

MAITLAND

FRAME EXTERNAL

. EID (E)

HK & GD

[ADVANCED AS REQUESTED]

ADDITIONAL DISTRIBUTION

FRAME

2

CONFIDENTIAL