Canberra, 5 February 1963
Confidential
Without Memorandum—European Common Market
The Cabinet discussed the implications of the collapse of Britain’s application to join the European Common Market.
2. The Prime Minister read to the Cabinet a personal letter from Mr Macmillan on the subject.1
3. On the particular issue of an early Commonwealth Conference the Cabinet took the view that such a conference would not be useful at the present stage at least, and that at present bilateral discussions represent the best means of consultation.
4. As far as the Australian/Britain trade position is concerned, the Cabinet noted that the 1956 Trade Agreement is still current but due for renewal later this year, there having been two extensions of 12 months while Britain’s European application was current.
5. The Cabinet thought that it is still likely to be in Britain’s mind to resume negotiations with the European Community some time in the future if a better atmosphere were to develop, and that this, if it is so, will have a bearing on Britain’s course of action in the matter of the renewal of the United Kingdom/Australia Trade Agreement. As Britain will clearly need time to clarify its mind as to the consequences of the rejection of its Common Market decision on its trade policy, it was agreed that no particular initiative by Australia is called for at present.
1 Document 213.
[NAA: A4940, C3368 PART 4]