CONFIDENTIAL
In
aviation and from tourism might be improved if airlines
other than BOAC were given lending rights in Hong Kong.
fact, in addition to EOAC and Hong Kong's Cathay Pacific,
24 regular scheduled airlines of other countries already
serve Hong Kong, 9 of them with direct flights or through
aircraft services from Europe. Air transport movements
have more than trebled and (with larger aircraft) air
passengers multiplied over six-fold at Hong Kong over the
last ten years - considerably over the world average. То
give scheduled service traffic rights at Hong Kong to more
airlines, of countries which cannot offer worthwhile rights
in exchange under the world-wide system of bilateral
bargaining (in which EEC members act in just the same
way as other countries) would sap the UK's bargaining
position, on which maintaining British airlines'
(including Hong Kong's) international rights depends.
It would certainly bring adverse reactions, at the
dilution of value of their existing rights, from such
countries as Italy, Germany, France, Switzerland or
Australia whose airlines already serve Hong Kong.
Kong participates in UK negotiations on scheduled service
rights involving the colony, for which other States can
hold HIIG responsible internationally as UK territory
under the Chicago Convention. Control there of charter
flights is in Hong Kong's own hands. Apart from traffic
rights, all States party to the relevant multilateral
instruments have rights for technical landings by civil
aircraft in Hong Kong.
Hong
40. Hong Kong has sought a financial contribution from the UK
for its civil airport development to accommodate jumbo-jets
/and