Reference......
Mr Boulton (Aviation and Telecommunications Department)
Governor designett
1.
With reference to our telephone conversation of 27 July I enclose a first draft of a note for Sir Murray MacLehose on the subject of air traffic rights at Hong Kong.
2. Any additions, subtractions or amendments providing the final sentenee is reasonably short would be welcome.
outcome
29 July 1971
J A Clewley
Hong Kong Department
He Boult
&
You rey
here comments
huss hubb
Pl. wtype amended.
1
Mr Boattan ajari
I have palled
when HKD
The Clewly
in
A
ATD
2/8.
few amendments.
We here ovoided increasing the length.
48.
巡
DD 737719 557664 500M 2/71 GM 3643/2
NOTHING T* ** WRITTEN. IN this MARGIN
Ristry
SECURITY CLASSIFICATION
Top Secret.
Secret.
Confidential.
Restricted. Unclassified.
PRIVACY MARKING
4
.In Confidence
DRAFT NOTE ON AIR TRAFFIC
RIGHTS
To:-
2
AIR TRAFFIC RIGHTS AT HONG KONG
Type 1 +
From
Telephone No. & Ext.
Department Hong Kong
1. As a strategic staging post for commercial airline
operations, traffic rights in Hong Kong are a valuable
commodity and useful bargaining counter for the UK
when negotiating Air Services Agreements with other
countries. These traffic rights are in the gift of the
Department of Trade and Industry and, in their view,
should only be traded for reciprocal rights of at least
use
the rights at Hong Kong
as
part of the pastore price for rights both for the U.K. based airlines (BEAC, Cal/Bus am BEA) and the local Hong Kong comes, Cathay Pacific Airlines.
the British economy
2
IS,
1e
1 skies'
policy in order to earn as large a revenue as possible
from landing fees and commercial benefits eg. increased
tourism. There is also the feeling that the benefit to
BOAC and HMG is far greater than it is to Cathay Pacific
Airlines and Hong Kong.
3.
The control and restriction of traffic rights by
HMG has, therefore, been a constant source of friction,
particularly in view of the fact that in 1967, and again
in 1969, HMG refused to grant loans towards the cost of
runway extension and equipment for Kai Tak Airport.
14.
(145181) Dd. 737490 750M 1/71 Hw.
1
(145181) Dd. 737490 750M 1/71 Hw.
NOTHING
IN THIS MARGIN
Ristry
SECURITY CLASSIFICATION
Top Secret.
Secret.
Confidential.
Restricted.
Unclassified.
PRIVACY MARKING
DRAFT NOTE ON AIR TRAFFIC
RIGHTS
To:-
>
In Confidence
Type 1 +
From
Telephone No. & Ext.
Department Hong Kong
Lattached
Fak Hong Kong have olded to those al- at and other relevant
the British economy
AIR TRAFFIC RIGHTS AT HONG KONG
1. As a strategic staging post for commercial airline
operations, traffic rights in Hong Kong are a valuable
commodity and useful bargaining counter for the UK
when negotiating Air Services Agreements with other
countries. These traffic rights are in the gift of the
Department of Trade and Industry and, in their view,
should only be traded for reciprocal rights of at least
equal value. In negotiations with other countries,
DTI have been able to offer rights at Hong Kong in
Lobhain
and
retum for rights not only for the BOAG but for the
local Hong Kong carrier, Cathay Pacific Airlines
tend to
2. Hong Kong, on the other hand, favour an 'open skies'
policy in order to earn as large a revenue as possible
from landing fees and commercial benefits eg. increased
tourism. There is also the feeling that the benefit to
BOAC and HMG is far greater than it is to Cathay Pacific
Airlines and Hong Kong.
3.
The control and restriction of traffic rights by
HMG has, therefore, been a constant source of friction,
particularly in view of the fact that in 1967, and again
in 1969, HMG refused to grant loans towards the cost of
runway extension and equipment for Kai Tak Airport.
/4.
- 1