TNAG-2132-FCO40-3047-Hong-Kong-and-the-ivory-trade-1990 — Page 117

CONFIDENTIAL

FM HONG KONG

TO IMMEDIATE FCO TELNO 1526

OF 100652Z MAY 90

CONFIDENTIAL

219,

(

100464

MDHIAN 9895

RECE:

DEE

INDE

Here is

16 MAY 1990

.gi

YOUR TELNO 939: IVORY PQ'S

1.

WE ARE CONTENT WITH YOUR PROPOSED REPLY.

REGARDING PROGRESS ON THE BILL, WE ARE IN THE HANDS OF THE OMELCO AD HOC GROUP HERE. WE LAST MET WITH THEM ON 18 APRIL WHEN THEY EXPRESSED CONCERN ON TWO ISSUES:

2.

(A) CARVER'S REQUEST FOR HORN AND BONE CARVING RETRAINING

COURSES, AND

(B)

FINANCIAL PROBLEMS (UNSPECIFIED) FACING DOMESTIC WORKSHOP OPERATORS (SMALL CARVING CONCERNS).

3.

ON (A) WE HAVE MET WITH THE CARVERS, AND, WITH HELP OF VTC, HOPE TO OFFER THE COURSE SOUGHT BY THEM, WHICH IS 20 WEEKS PART- TIME AND WILL INCLUDE PROVISION FOR DOLLARS 2500 PER MONTH SUBSISTENCE ALLOWANCE FOR ATTENDEES. SUBJECT TO FINANCE COMMITTEE APPROVAL AND FUNDS BEING MADE AVAILABLE, THIS WILL GO AHEAD.

4.

ON (B), WE HAVE MET WITH REPRESENTATIVES OF THOSE CONCERNED AND THEY HAVE AGAIN MADE REQUESTS FOR COMPENSATION OF UP TO DOLLARS 50 MILLION TO BE PAID TO THE 50 OR SO WORKSHOP OPERATORS. WE RESTATED THAT COMPENSATION BY THE HONG KONG GOVERNMENT WOULD NOT BE CONSIDERED. WE WILL BE REVERTING TO THE OMELCO GROUP ON THIS ISSUE, AND WE GAUGE THAT OMELCO RE PROBABLY EXPECTING US TO CONFIRM THAT WE ARE UNABLE TO TAKE THIS FURTHER. AT OUR LAST MEETING WITH THE AD HOC GROUP THEY WERE MADE AWARE OF OUR LINE ON COMPENSATION AND SEEMED TO ACCEPT THIS THEN.

5.

WE WILL GO BACK TO THE GROUP ON BOTH THESE MATTERS AS SOON AS WE HAVE CLARIFIED THE COURSE FUNDING ARRANGEMENTS. BARRING ANY FURTHER POINTS RAISED BY THE AD-HOC GROUP, WE SHOULD BE IN A POSITION FOR THE SECOND READING TO BE RESUMED DURING JUNE, BUT YOU WILL APPRECIATE THAT SINCE OMELCO HAVE YET TO LIFT THE BARRIER, WE CANNOT GIVE A FIRM DATE AT THIS STAGE.

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CONFIDENTIAL