9 In theory, there are a number of alternatives to the

Australian proposals.

The Australians examined several of

these in their policy review and rejected them.

10 and 11).

Conclusions and Recommendations

(Paragraphs

10 The Australian proposals offer economic and social

benefits, but politically there are some disadvantages:

Singapore and Malaysia are likely to be upset, the former

especially, and there is some risk that the mid-point

countries concerned would gang up to block the scheme -

the more so if they believed that Australia and the UK were

ganging up on them. It is difficult to predict how they

would react in advance of any approach to them and thus

difficult to decide how to respond to the Australians.

It would be premature to give the Australians the commitment

in principle for which they are asking. On the other hand,

to turn down the proposal at this stage would provoke a

sharp reaction from the Australians and would have an

adverse effect on our bilateral air service and perhaps

wider relations with them. It would be best to be reasonably

forthcoming, provided that we preserve the ability to

retreat if the reaction of third countries is tough and in

particular if they gang up to block the scheme.

11 We recommend that the Australians should as soon as

possible be given a written answer on the lines of the

attached draft. The reference to introducing the scheme

"in an orderly and acceptable manner" is deliberately

ambiguous.

Share This Page