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30<br />

Nicolau Andresen-Leitão<br />

tory <strong>de</strong>monstrates that economic <strong>integration</strong> has led to political <strong>integration</strong>”. On the<br />

issue <strong>of</strong> sovereignty, it held a diametrically opposed view to that <strong>of</strong> Salazar:<br />

“if surren<strong>de</strong>ring economic powers to an organisation <strong>of</strong> states implies the loss <strong>of</strong><br />

political power, nowadays the importance <strong>of</strong> economy in the life <strong>of</strong> nations has<br />

become self-evi<strong>de</strong>nt, [therefore] the issue has to be faced as a contract. We believe<br />

that no country can consi<strong>de</strong>r itself to be woun<strong>de</strong>d in its sovereignty, when, freely, it<br />

accepts entry into an organisation which can give it advantages and represents an<br />

instrument <strong>of</strong> <strong>de</strong>fence against the threat which hangs over the Western World”. 19<br />

Even though this opinion was expressed in Cold War terms, it was a notable<br />

statement, for it ran contrary to Salazar’s private and public statements on European<br />

<strong>integration</strong> and national sovereignty. Contrarily to the Portuguese administration,<br />

the Oporto Industrial Association had realised that economic growth could<br />

“occupy in the national collective psyche (…) the place formerly occupied by the<br />

growth <strong>of</strong> national territory”. 20<br />

The breakdown <strong>of</strong> the FTA negotiations in November 1958 constituted a serious<br />

reverse for the countries that had followed the British lead in seeking to minimise<br />

the consequences <strong>of</strong> the establishment <strong>of</strong> the Community. In the particular case <strong>of</strong><br />

Portugal, the special FTA status it sought had already been approved by the corresponding<br />

group <strong>of</strong> experts but had not been discussed by the OEEC inter-governmental<br />

committee <strong>de</strong>aling with the problems <strong>of</strong> the FTA (the so-called "Maudling<br />

Committee" after the appointment <strong>of</strong> Reginald Maudling as its chairman in<br />

mid-November 1957). 21<br />

It was only in July 1959 that Britain and the Scandinavian countries accepted<br />

that Portugal could be a member <strong>of</strong> EFTA. As they feared that the economic exceptions<br />

which Portugal sought would seem to publicly weaken EFTA vis-à-vis the<br />

EEC, the solution was a gentlemen’s agreement proposed by Tra<strong>de</strong> minister Corrêa<br />

d’Oliveira, whereby the concessions to Portugal would remain confi<strong>de</strong>ntial until<br />

the signing <strong>of</strong> the EFTA Convention. 22 In political terms, the negotiations also were<br />

successful for Portugal, consi<strong>de</strong>ring that Portugal achieved what it had sought from<br />

the start, i.e. not having to negotiate by itself with the Six. Corrêa d’Oliveira reported<br />

to Salazar that in future negotiations between the Six and Seven, which he believed<br />

to be near, “we will be in a guaranteed safe position, because we have the<br />

right <strong>of</strong> veto”, concluding that “we are among the group <strong>of</strong> countries which lead<br />

European politics with equal rights without equal obligations”. 23<br />

19. Ibid., p.26.<br />

20. A.S. MILWARD, The European Rescue <strong>of</strong> the Nation-State, London, 1992, p.41.<br />

21. The status Portugal was about to reach in the FTA negotiations provi<strong>de</strong>d the basis for the special<br />

status obtained by Portugal in the EFTA Convention. Un<strong>de</strong>r Annex G, Portugal was given double<br />

the time span <strong>of</strong> other EFTA members to dismantle tariffs and the right to introduce new tariffs to<br />

protect infant industries.<br />

22. ANTT, AOS/CO/EC-17, Pt. 6, telegram, Corrêa d’Oliveira to Salazar, 23 July 1959, p.136.<br />

23. ANTT, AOS/CO/EC-17A, Pt. 4, handwritten comments by Corrêa d’Oliveira to Salazar, dated 6<br />

November 1959, on Guerra's telegram to Comissão Técnica <strong>de</strong> Cooperação Económica Externa <strong>of</strong><br />

2 November, p.186.

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