of a once-weekly service to Hong Kong.

This examination

proved inconclusive with experts on both sides

Over

differing to the interpretation of the figures.

1470

The Dutch eventually wrote on 20 April/to call the

exercise off.

4.

Mr. Luns, with whom the subject has become

something of an obsession, predictably raised the matter

1970 with the Secretary of State on 30 Junejat Luxembourg.

This was followed by a call on the Secretary of State

by the Netherlands Ambassador on 31 July who left an

aide memoire rehearsing the Dutch case. This is broadly

The

Netherland have

amond

(this is mcorrect: West Germany, Japan & Terivan have larger trade with Hong Kong Jan have thane The Netherlands

BIC

that they have never refused the U.K. any request for

traffic rights, that after the U.K. they are the next

biggest trading partner of Hong Kong and that of the

Land

countries with airlines operating to the Far East they

are the only country without rights at Hong Kong.

also

{

(This is not in fact true. (This is

✔ bul

Sabena do not have rights

at Hong Kong but Coperate to Tokyo)

5. The Secretary of State said that he would take the

matter up with his colleagues. On 18 August the

Chancellor wrote to the President of the Board of Trade

with copies to the Defence Secretary and the Chancellor

of the Exchequer. (A copy of the letter is at Annex

The President of the BoT how nor yet replind. A). re havepot yet received a reply,

вот

6. The Governor may also raise the question of

United Arab Airlines (UAA) rights at Hong Kong. In the

recent air services negotiations with the UAR the

traffic rights that UAA at present enjoy at Hong Kong

proved to be one of the main obstacles to reaching an

agreement.

we denounced the Air Services Agreement with

the UAR last year on the grounds of a large and persistent

imbalance of earnings between the airlines of the two

There are very sides, and it will expire on 6 October. 3

/strong

was done

(This unfortunately without the governor being informed)

NOTHING TO BE WRITTEN IN THIS MARGIN

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