CRS 453

CONFIDENTIAL

FM CANBERRA 260633Z JAN 79

TO IMMEDIATE FCO

CONFIDENTIAL

TELEGRAM NUMBER 68 OF 26 JANUARY

INFO IMMEDIATE (ALL DESKBYS 260730Z)

JAKARTA MANILA KUALA LUMPUR BCARFE)

INFO ROUTINE WELLINGTON

HKF 184/1

No Jxl

SINGAPORE

DIA

HONG KONG (GOVERNOR AND

19

мірт

FOLLOWING IS TEXT

EXCELLENCY,

AS PRESENT CHAIRMAN OF THE ASEAN STANDING COMMITTEE I HAVE BEEN REQUESTED BY MY ASEAN COLLEAGUES TO EXPRESS TO YOUR EXCELLENCY ON BEHALF OF ASEAN OUR CONCERN ABOUT THE RECENT NEGATIVE DEVELOPMENTS IN ASEAN-AUSTRALIAN RELATIONS.

ASEAN AND AUSTRALIA HAVE ALWAYS HAD GOOD ECONOMIC AND POLITICAL RELATIONS. BUT THESE SEEM TO BE NOW IN SERIOUS JEOPARDY AS A RESULT OF THE AUSTRALIAN GOVERNMENT'S ATTITUDE EVENHBEQUESTION OF THE BRITISH-AUSTRALIAN CHEAP FARES SCHEME,

EVEN BEFORE THE RECENTLY CONCLUDED AUSTRALIAN-ASEAN AIRTALKS OPENED IN CANBERRA ON THE 8TH JANUARY 1979 THE AUSTRALIAN GOVERNMENT PREMATURELY ANNOUNCED THAT THE CHEAP AIRFARES SCHEME WOULD BE IMPLEMENTED BY FEBRUARY1, 1979. ALTHOUGH THIS WAS TANTAMOUNT TO A 'FAIT ACCOMPLI', THE ASE AN

COUNTRIES NEVERTHELESS OVERLOOKED THIS BECAUSE THEY FELT THEY

WERE NEGOTIATING WITH A FRIENDLY NEIGHBOUR.

AS IT TURNED OUT, THE NEGOTIATIONS WERE CONCLUDED COMPLETELY IN AUSTRALIA'S FAVOUR AND WITHOUT ANY SIGNIFICANT CONCESSION TO JUSTIFY THE AUSTRALIAN GOVERNMENT'S ASSURANCES THAT

ASEAN'S AVIATION ANDTOURIST INTERESTS WOULD BE SAFEGUARDED.

CONFIDENTIAL

/IT WOULD

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