TNAG-0633-FCO40-781-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 163

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DESKBY 08183OZ

TO IMMEDIATE UKMIS GENEVA TELNO 383 OF 8 DECEMBER.

INFO IMMEDIATE UKREP BRUSSELS

39 YOUR TELNO 659:

GATT TEXTILES COMMITTEE

FOLLOWING FOR DELEGATION

1487

397

1. IF THE COMMISSION PRESENT MEMBER STATES WITH THE DRAFT OF A NEW COMTEX DOCUMENT, YOU SHOULD RESERVE THE UK'S POSITION. IN DOING SO YOU SHOULD SPEAK ON THE LINES OF PARAS 2 AND 3 BELOW.

2. MINISTERS AT THE COUNCIL ON 19/20 DECEMBER WILL BE ASKED TO TAKE A NUMBER OF IMPORTANT DECISIONS IN THE TEXTILES FIELD.

ONE OF THESE WILL BE WHETHER OR NOT TO SIGN A RENEWED MFA AND WITHIN THIS DECISION, THE TERMS ON WHICH THE COMMUNITY RENEWS THE MFA WILL BE OF THE GREATEST IMPORTANCE.

3. THE UK IS THEREFORE UNABLE TO APPROVE ANY TEXT WHICH THE

COMMISSION PROPOSES TO MEMBER STATES BEFORE. IT HAS BEEN CONSIDERED BY MINISTERS AS PART OF THE OVERALL PACKAGE.

POINT (A) OF THE ELEMENTS IN YOUR PARA 2 IS TO BE EXPECTED

BUT WE RECOGNISE THE RISK IT COULD CREATE IN CALLING INTO

QUESTION THE TRIGGERS IN AGREEMENTS NOT YET SIGNED. AS NECESSARY

YOU SHOULD EMPHASISE THAT THE COMMUNITY MUST BE ABLE TO ESTABLISH EFFECTIVE TRIGGERS. WE DO NOT BELIEVE THAT POINT (B) NEED WORRY US AS MUCH AS POINT (C) IT GOES LITTLE FURTHER THAN SIMILAR PROVISIONS IN THE EXISTING MFA AND INDEED IN THE LTA. POINT (C) WE FIND MORE DISTURBING IF IT DOES INDEED HAVE THE IMPLICATIONS SUGGESTED IN YOUR PARA 3. WE SHALL NATURALLY HAVE TO TAKE LEGAL VIEWS ON THIS AS SOON AS WE HAVE SEEN A TEXT. POINT (C) MIGHT

BE EASIER TO BEAR IF IT REFERRED TO THE NEXW COMTEX DOCUMENT

UNDER DISCUSSION AS WELL AS TO THE MFA AS EXTENDED.

CONFIDENTIAL

*

15. AS NÉCESSARY