TNAG-0843-FCO40-1053-Visit-of-Lord-Carrington--Secretary-of-State-for-Foreign-and-1979 — Page 11

CONFIDENTIAL

HKK.024/5

د ايده

25

SECRETARY OF STATE'S VISIT TO HONG KONG, KUALA LUMPUR, DELHI AND

BAGHDAD, 29 JUNE

-

4 JULY

GENERAL BRIEF: NORTH/SOUTH DIALOGUE

3588

tometrasy This

1. The North/South brief for the Tokyo Summ

provides material on the outcome of UNCTAD V with which (in addition to

the outcome of the Summit itself) most of the Secretary of State's

interlocutors will be primarily preoccupied. The Malaysians have a

particular interest in commodities, especially rubber, on which there

is a separate bilateral brief. Other essential facts are as follows.

Hong Kong

:

2. Hong Kong was represented at UNCTAD V as part of the UK Delegation.

But Hong Kong's conflicting interests which ally her with the G77 on

trade and with Group B on shipping make North/South fora of this kind

uncomfortable for her and her Delegate Left before the end of the

Conference.

Kuala Lumpur

3. The Malaysians have told us that they were happy with the outcome of

UNCTAD V on the Common Fund and commodities but disappointed over the

GSP and Protectionism.

4.

We announced at UNCTAD that we would be contributing to the Second

(voluntary) Window of the Common Fund. But no decision has yet been

taken on the size of our contribution. Further discussion of the

detailed working of the Common Fund will begin in September. It will

probably not be operational until 1981.

5. The International Tin Agreement will be negotiated next year. The

current price is well above the price range in the present agreement.

Producers will doubtless press for a much higher range. We are examinin

how the new range should best be determined.

Delhi

6.

We have taken particular trouble to maintain contacts with the

Indians over North/South matters. The High Commission has had several

/sessions

CONFIDENTIAL