ENG-1971 — Page 60

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INDUSTRY AND TRADE

Kong of all new regulations issued regarding the implementation of the Common Commercial Policy.

Following a series of negotiations with the EEC, a three-year agreement covering the export of all cotton textiles other than yarns to the six Member States was concluded in the latter part of 1970, and went into effect from January 1, 1971. Under the terms of the agreement, Hong Kong undertook to restrain exports of some finished fabrics and made-ups and apparel items to agreed limits. For certain grey and bleached fabrics an arrangement was instituted whereby the limits are determined under agreed conditions following consultations between the EEC and Hong Kong. In September, consultations were held in Brussels at the request of the European Economic Community on exports of grey and bleached fabrics to Italy.

Japan: Japan introduced phase one of its generalised preference scheme for developing countries on August 1. The scheme provides for limited entry for manufactured goods, either duty-free or at reduced tariffs, and unlimited entry for certain agricultural and fisheries products at reduced tariffs. Hong Kong was not included as a beneficiary under this phase, but the Japanese Government an- nounced its intention to include Hong Kong, subject to certain qualifications, at a later stage, probably from April 1, 1972.

Norway: On October 1, Norway introduced its generalised pref- erence scheme for developing countries. The Norwegian scheme provides for unlimited duty-free entry for certain agricultural and fisheries products and for manufactures with the exception of most textiles, leather articles, footwear, tableware and glassware. Hong Kong was not included in this scheme at its inception, but representa- tions were made to the Norwegian Government and consideration of the inclusion of further beneficiaries, including Hong Kong, was promised at a later date.

In September 1970 the Hong Kong Government held consultations with the Norwegian Government at the latter's request and conclud- ed an agreement whereby Hong Kong undertook to restrain exports of six categories of cotton and non-cotton garments in the period November 1, 1970 to June 30, 1972.

Sweden: Consultations with representatives of the Swedish Gov- ernment on Hong Kong's exports of cotton and non-cotton textiles took place in May. These negotiations resulted in an agreement whereby Hong Kong undertook to restrain exports to Sweden of seven groups of cotton and non-cotton garments in the period May 1, 1971 to June 30, 1972.

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