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EXTRACT FROM RECORD OF CONVERSATION BETWEEN McCLINTOCK AND HAY

Canberra, 20 May 1957

Confidential

Formosa

I told McClintock the Secretary’s plan2 as it is to be put to the Minister. He said that their thoughts had been turning much more to representation on the mainland since trade with the mainland is running at an annual rate of more than four million pounds whereas trade with Formosa is running at the rate of something less than one million. However there was some trade interest in establishing in Formosa and in the light of our wider interest his personal opinion was that Trade would ‘play ball’. He seemed amenable to the idea of sending an Assistant Trade Commissioner for a start for say a two year term. If at the end of that time there appeared to be insufficient work and our own office was fully established with the addition of a more senior man, he thought it would be quite possible to withdraw the Trade man.

In talking of representation in Communist China, McClintock said that Trade had in mind bringing this to the notice of Cabinet for a direction. He was quite aware that political objections might be over–riding, but, in his opinion, ways could be found of unobtrusively putting a Trade man in and thereby doubling our exports to the mainland.

[NAA: A1838, 3107/38/1, ii]

1 D.O. Hay, Assistant Secretary, Division III (administrative), Department of External Affairs.

2 From evidence in a later document, it appears Tange was interested in the notion of establishing a Mission in Formosa with a Trade official in charge initially.