TNAG-1154-FCO40-1434-Visits-by-Members-of-Parliament-(MPs)-to-Hong-Kong-1982 — Page 25

Chairman: We will leave it at that at this point because there is

another Committee which goes into great depth on educational problems.

Thank you for the four examples. If there were to be a prize for the

man of the match, I would split it between you all.

200.

Mr Maxwell-Hyslop

In paragraph 3.2 of your paper you draw attention to the price

that has to be paid for protecting declining industries. Apart from

the well known Indonesian textile case, is there any instrument for

measuring the counter balance of advantage here or are there any studies

which have been done, so far as you know, and, if so, what are their

results or is it just a matter of generalisation, that protection can, of

course, generate spoilt sales?

(Mr Checketts) In Indonesia, it is very unlikely that it would

happen again. As a result of that dispute, we have established a joint

working party between the two countries. There is a British side, of

which Graham Young is the chairman and I am a member, and there are

officials almost on the sidelines, but it is a businessman's

committee, a sort of early warning system establishing that these things

will not come to the boil; they will be cut off before they boil in

future in Indonesia. There is a proposed similar type of organisation

for Malaysia under the present problem there. It has not arisen in

Thailand; it has not arisen in Singapore or the Philippines, but where

the signs are that it will arise, we are learning how to deal with them

before they boil. Does that halp to answer the question?

Mr Maxwell-Hyslop: Yes, it does.

Mr Kerr

Thank you.

201. Why is counter-trading increasing in ASEAN? What form

does it typically take? Is it acceptable to UK industry and finally,

are our competitors more ready to cooperate with Indonesian demands

for counter-trading?

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