TNAG-0633-FCO40-781-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 121

EXPORT LICENSING AND CERTIFICATE OF ORIGIN REQUIREMENTS

SHIPMENTS OF PRODUCTS SUBJECT TO SPECIFIC LIMITS WILL BE RES RED TO BE COVERED BY CUOTA LICENCES. EXPORT LICENCES ARE CENRALLY VALID FOR 28 DAYS. EXPORT LICENCES VALID FOR 3 MONTHS MAY BE ISSUED AT THE REQUEST OF THE QUOTA HOLDER. SUCH EXPORTS MUST BE ACCOMPANIED BY VALID CERTIFICATES OF HONG KONG ORIGIN ISSUED EITHER BY THIS DEPARTMENT OR BY ONE OF THE ACCREDITED NON-GOVERNMENT CERTIFICATE-ISSUING ORGANISATIONS.

ENDS

CORRECTION: PARA 9 SUB-PARA (D) FIRST LINE SHOULD READ:

FROM DTIC

SWING INTO CATEGORY 4 (KNITTED SHIRTS AND T-SHIRTS).

SENT ON 7.12.77 PM Sw+

159L FOR LONDON, BRUSSELS AND GENEVA OFFICE

FROM DORWARD

FOLLOWING IS TEXT OF PRESS STATEMENT ISSUED THIS AFTERNOON.

BEGINS

THE TRADE INDUSTRY AND CUSTOMS DEPARTMENT TODAY RELEASED DETAILS OF THE NEW TEXTILES AGREEMENT BETWEEN HONG KONG AND THE EUROPEAN ECONOMIC COMMUNITY. (NOTE (UNDERLINED): A SUMMARY OF THE MAIN PROVISIONS OF THE AGREEMENT, TOGETHER WITH DETAILS ON CATEGORISATION AND 1978 RESTRAINT LIMITS, IS ENCLOSED).

FOR

2. A SPOKESMAN FOR THE DEPARTMENT SAID THAT THE TEXT OF THE AGREEMENT, WHICH WAS INITIALLED IN BRUSSELS AT THE END OF LAST WEEK, WAS EXAMINED BY THE TEXTILES ADVISORY BOARD AT A MEETING HELD YESTERDAY AFTERNOON. THE BOARD ADVISED THAT, PENDING FORMAL RATIFICATION OF THE AGREEMENT, HONG KONG SHOULD IMPLEMENT ITS PROVISIONS ON A DE FACTO BASIS FROM 1 JANUARY 1978.

THE SPOKESMAN SAID THAT THE DEPARTMENT HAD ISSUED A NOTICE TO EXPORTERS EARLIER TODAY ADVISING THE TRADE OF DETAILS OF THE AGREEMENT AND CALLING FOR SHIPMENT RETURNS IN RESPECT OF ITEMS BEING BROUGHT UNDER RESTRAINT FOR THE FIRST TIME.

4. MEANWHILE, A GOVERNMENT SPOKESMAN SAID THAT IF THE NEW 1978 LIMITS FOR THE FOUR ITEMS WHICH HAVE FACED THE BIGGEST CUTBACK (COTTON FABRICS, WOVEN TROUSERS, WOVEN SHIRTS AND KNITTED BRIEFS) HAD BEEN APPLIED IN 1976, IT WOULD HAVE COST 8,500 JOBS AND ABOUT 390 MILLION DOLLARS IN EXPORT EARNINGS.

but in 1977?

5. THE DAMAGING IMPACT OF THESE CUTS WILL NOT, HOWEVER, BE FELT SO KEENLY IN THE SHORT TERM. THIS IS BECAUSE 1977 HAS BEEN A POOR YEAR FOR EXPORTS TO THE EEC, WITH TRADE IN THESE FOUR ITEMS RUNNING AT ABOUT THE MAXIMUM LEVEL IT WILL BE ALLOWED TO REACH IN 1978.

£.