TNAG-0632-FCO40-780-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 155

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5. THAILAND: CONTRARY TO EARLIER EXPECTATIONS, THE THAIS NOW APPEAR TO BE IN NO HURRY TO SEE AN AGREEMENT DRAWN UP: THE COMMISSION SPECULATE THAT PRESSURE HAS BEEN EXERTED ON THEM TO SLOW DOWN. THEY FIND THE COMMUNITY'S DESCRIPTION OF CRAFT PRODUCTS DIFFICULT TO ACCEPT AND THEIR LIST OF SUCH PRODUCTS DIFFERS CONSIDERABLY FROM THE COMMUNITY'S LIST. HOWEVER, IT IS HOPED THAT AGREEMENT WILL BE FINALISED WITH THE THAIS THIS WEEK. THE UK SAID THEY COULD NOT AGREE TO THE INCLUSION OF A CLAUSE SIMILAR TO THAT IN THE MEMORANDUM OF UNDERSTANDING WITH SINGAPORE 1E THAT IF BETTER FIGURES WERE CONCEEDED TO OTHER SUPPLIERS, THE COMMUNITY'S OFFER TO THAILAND WOULD BE IMPROVED.

5.

ARGENTINA: A MEMORANDUM OF UNDERSTANDING ON THE FIGURES

WAS INITIALLED WITH ARGENTINA ON 21 NOVEMBER.

7.

MALAYSIA: THERE APPEARS TO BE NO URGENCY ON THE PART OF THE

MALAYSIANS TO CONCLUDE AGREEMENT. THEY HAVE PRODUCED ONLY PARTIAL

COUNTER-PROPOSALS TO THE COMMUNITY'S INITIAL OCTOBER OFFER: THESE

REPRESENT LARGE INCREASES ON THE COMMUNITY'S FIGURES FOR TROUSERS,

HANDKERCHIEFS, COTTON AND SYNTHETIC CLOTH,

13=

KOREA: DISCUSSION CONTINUED WITH KOREA AT A TECHNICAL LEVEL,

THEY HAVE PRODUCED 40 PHOTOGRAPHS OF DIFFERENT GARMENTS AND HAVE

ASKED THE COMMUNITY TO CLASSIFY THEM ACCORDING TO THE COMMUNITY'S

NEW CLASSIFICATION SYSTEM. THEY HAVE ALSO SUGGESTED A MERGER OF

THE TWO CATEGORIES OF HANDKERCHIEFS.

9.

INDIA: THE INDIANS HAVE BEEN PROCRASTINATING ON DISCUSSION

OF FIGURES FOR SOME TIME AND MUCH OF THE NEGOTIATING SESSIONS HAVE

CENTRED AROUND MINOR JURIDICAL POINTS. THE COMMUNITY MADE A NEW

OFFER TO THE INDIANS ON 19 NOVEMBER AND WARNED THEM THAT IF THEY DID NOT RESPOND TO THIS OFFER BY, 22 NOVEMBER, IT WOULD BE WITHDRAWN AND THE FIGURES PROGRESSIVELY REDUCED. THIS LATEST OFFER INCLUDED

FIGURES FOR COTTON YARN AND FABRIC WHICH WENT BEYOND THE MANDATE.

BUT THE COMMISSION REPRESENTATIVES HAVE STRESSED THAT THESE WERE

OFFERED ON A PERSONAL BASIS AND THAT THIS OFFER HAS NOW LAPSED. THE

INDIANS STILL ARGUE THAT THE COMMUNITY'S OFFERS ON BASE LEVELS AND

GROWTH RATES ARE NOT IN CONFORMITY WITH THE MFA. THEY NEVERTHELESS

ADMIT THE POSSIBILITY OF COMPROMISE AND HAVE NOW STARTED TO DISCUSS

THE FIGURES IN DETAIL. THEY FIND FOUR MAJOR DIFFICULTIES IN THE

COMMUNITY'S GENERAL APPROACH:

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