2467 54 STAT.] SWITZERLAND-RECIPROCAL TRADE-NOV. 28 , 1940 sion's note dated October 4, 1940, expressing the Swiss Govern- ment's acceptance of the proviso relating to handkerchiefs as set forth on page 1 of the Legation's note No. 97 of September 19, 1940. As regards the changes desired by the interested Swiss manu- facturers, as set forth in the Division's note of October 4, the Legation has been directed to inform the Swiss authorities that after careful and sympathetic consideration, it has not been found feasible to adopt these suggestions for the following reasons: 1. It is felt that the revised concession (as given in the wording of the proviso contained in the second paragraph of this Legation's note No. 97 dated September 19, 1940) is suf- ficient to prevent handkerchiefs, on which any substantial part of the ornamentation has been done by hand, from being entered at the agreement rate. 2. If the purpose of the Swiss suggestion is to exclude from the scope of the concession, handkerchiefs which are ornamented on machines, other than multiple-needle machines, it is believed that there is a misunderstanding as to the purpose of the proviso, which is simply to make it clear that the words "which are not embroidered, tamboured or appliqued in any part by hand", et cetera, do not exclude from the concession such incidental hand operations as are described in the proviso. The Swiss proposal for amendment of the proviso would not exclude handkerchiefs ornamented on machines other than mul- tiple-needle machines from the benefit of the concession, if they have not been ornamented or finished in any part by hand. Adoption of the Swiss language would, how- ever, create uncertainty as to the treatment which would be accorded to such handkerchiefs when they had been incidentally hand finished. 3. Past experience, in any event, does not indicate that any important trade could be developed under the concession in handkerchiefs ornamented on machines other than mul- tiple-needle machines. It is not believed, therefore, that Switzerland would be particularly benefited by the adoption of the suggestion regarding revision of the pro- viso, while the wording might involve considerable administrative difficulty. 4. The suggestion that the word "machine" be administratively interpreted to mean multiple-needle machine does not appear to be legally feasible, as it is believed that such an interpretation would not be upheld by the courts. The Legation expresses its Government's most cordial appreciation of the cooperation which the Swiss Government has given in this matter and would be glad if it may now finally report the agreement
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