TNAG-0631-FCO40-779-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 192

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(11)

THE PROBLEM OF CUMULATIVE DISRUPTION FROM COUNTRIES NOT SUBJECT TO BILATERAL AGREEMENTS WAS A THEORETICAL ONE HOW, BUT

HE ACCEPTED THAT IT COULD BECOME A PRACTICAL ONE, THE

OF

PROVISIONS OF PARA 12 CF ANNEX 1 OF THE JUNE DOCUMENT WOULD INDEED APPLY HOWEVER THE COMMISSION ACKNOWLEDGED THAT THERE COULD BE OCC- ASIONS ON WICH IT WOULD HAVE TO ACT QUICKLY.

(11) HE COULD ASSURE MR DELL THAT THERE WOULD BE EFFECTIVE AND CONSTANT COOPERATION BETWEEN THE COMMISSION AND THE MEMBER STATES IN THE ARTICLE 113 COMMITTEE THROUGHOUT THE NEGOTIATIONS.

(IV) THE COMMISSION WOULD SHORTLY BE MAKING PROPOSALS.

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ON COTTON YARN HAFERKAMP REPEATD THAT AN OFFER OF ZERO GROWTH WOULD SIMPLY RE UNACCEPTABLE TO THE COMMUNITY'S NEGOTIATING PARTNERS, HOWEVER, THE COMMISSION'S CALCULATIONS, BASED ON 1976 IMPORT LEVELS, SHOWED THAT, FOR THE UK, THE MANDATE WOULD STILL PRODUCE LOVER COTTON YARN IMPORTS 12,1981 THAN IN 1977.-

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THIS STATEMENT IN THE COUNCIL WAS ACCOMPANIED BY A PRIVATE ASSURANCE TO MR DELL FROM COMMISSIONER DAVIGNON THAT THE COMMISSION" WOULD DO ALL THEY COULD TO BRING ABOUT A FURTHER REDUCTION IN THE UK SHARE OF COTTON YARN IMPORTS OVER THE NEXT 2 YEARS).

5e

REPLYING TO HAFERKAMP'S INTERVENTION, MR DELL POINTED OUT THAT THE UK HAD BEEN CONSISTENT IN ASKING FOR ZERO GROWTH ON COTTON YARN ON THE BASIS OF 1976 FICURES, HE HOPED THAT THE COMMISCION WOULD STILL FIND WAYS OF ACHIEVING THIS, HE NOTED THE COMMISSION'S REPLY ON THE OTHER POINTS, WHICH GAVE THE UK THE CONFIRMATION WE NEEDED ON 4 OF THE 5 POINTS MENTIONED, IN ALL THE CIRCUMSTANCES HE COULD ACCEPT THAT REPLY AND LIFT THE RESERVE. HR DELL ADDED THAT THE UK'S AGREEMENT AT ALATER DATE TO THE RENEWAL OF THE MFA MANDATE WOULD BE SUBJECT TO A SATISFACTORY OUTCOME TO THE BILATERAL NEGOTIATIONS WHICH COULD NOW GBEGINS. IT WAS VITAL THAT A BOND

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