CONFIDENTIAL
GRS 630 A
CONFIDENTIAL
A FC
05180OZ DEC 78
TO ROUTINE WELLINGTON
TELEGRAM NO 263 OF 5 DECEMBER 1978
INFO CANBERRA HONG KONG (GOVERNOR AND BCARFE)
HKK 184/1
184/1
712)
RECEIVED IN NICMATY NO. 51 - 8 DE 1978
DESK O
INDEX
TRY
Acton Ten
UK/NEW ZEALAND AIR SERVICES
1. ROGERS (DOT) MET LYNCH (NEW ZEALAND DEPUTY HIGH COMMISSIONER) HERE FOR AN INFORMAL DISCUSSION ON 4 DECEMBER AT THE LATTER'S REQUEST.
2.
LYNCH RECALLED THAT WHEN MR TALLBOYS (NEW ZEZLAND DEPUTY PRIME MINISTER) HAD CALLED ON MR DELL ON 12 JUNE HE HAD UNDERTAKEN TO DISCUSS THE AIR SERVICES PROBLEMS WITH HIS COLLEAGUES ON HIS RETURN TO NEW ZEALAND WITH A VIEW TO FINDING AN URGENT SOLUTION. LYNCH SAID THAT FOR VARIOUS REASONS (INCLUDING THE NEW ZEALAND GENERAL ELECTION AND ANZ'S DIFFICULTIES ARISING FROM THE MERGER WITH NAC, WHICH HAD THROWN UP SOME INTRACTABLE INDUSTRIAL PROBLEMS) NO FURTHER PROGRESS HAD BEEN MADE IN NEW ZEALAND TOWARDS FINDING A SOLUTION. HOWEVER, IT WAS NOW HOPED THAAT A SUBMISSION ABOUT THE FUTURE OF NEW ZEALAND'S INTERNATIONAL AIR SERVICES AS A WHOLE COULD BE PUT TO THE NEW ZEALAND CABINET AFTER THE CHRISTMAS BREAK AND THE NZ SUMMER HOLIDAYS. THIS WAS LIKELY TO BE FEBRUARY OR, MORE PROBABLY MARCH. HE ENQUIRED WHETHER WE COULD WAIT THAT LONG FOR FURTHER DISCUSSIONS.
3.
ROGERS CONFIRMED THAT OUR POSITION REMAINED AS IT HAD BEEN THROUGHOUT NAMELY THAT WE WERE PREPARED TO WELCOME A SERVICE BY ANZ ON THE TRUNK ROUTE TO LONDON AND THAT WE WERE NOT PREPARED TO ACCEPT THE ABSENCE OF SUCH A SERVICE AS A REASON FOR A CONTINUING MONOPOLY BY AZN ON THE AUCKLAND-HONG KONG ROUTE: BUT WE CONTINUED TO BE WILLING TO SEEK A REASONABLE ACCOMMODATION REGARDING THE TIMING AND MANNER OF CPA'S INTRODUCTION. THE URGENCY OF THIS ASPECT HAD BEEN SOMEWHAT DIMINISHED BY THE FACT THAT CPA WERE NOW EXPEDITING THEIR CONVERSION TO AN ALL-WIDE-BODIED FLEET SO THAT A SOLUTION BASED ON STARTING WITH 3707'S SUCH AS WE HAD PROPOSED IN FEBRUARY, WAS NO LONGER A PRACTICAL PROPOSITION. ON THE OTHER HAND, SINCE OUR LAST ROUND OF TALKS WITH NEW ZEALAND WE HAD MADE RAPID PROGRESS IN EXTREMELY AMICABLE DISCUSSIONS WITH THE AUSTRALIANS FOR A NEW REGIME ON THE UK/AUSTRALIA ROUTE. IT SEEMED LIKELY THAT A FORMAL ANNOUNCEMENT ABOUT THIS WOULD BE MADE BY THE END OF
CONFIDENTIAL
/JANUARY