GRS 260
CONFIDENTIAL
CONFIDENTIAL
HKR 184
* NO.
AN 1970
FM CANBERRA 248630Z JAN 79
TO IMMEDIATE FCO
ПA
TELEGRAM NUMBER 58 OF 24 JANUARY
INFO SINGAPORE KUALA LUMPUR BANGKOK MANILA JAKARTA HONG KONG (FOR GOVERNOR AND BCARFE) WELLINGTON
No
$9
MY TEL NO 55
UK/AUSTRALIA AIR SERVICES DISCUSSIONS
1,
ROGERS' DISCUSSIONS THIS MORNING CENTRED ON STOP-OVER FARES. BA AND QANTAS, AS A CONSEQUENCE OF THEIR DISCUSSIONS YESTERDAY, PRESENTED ALTERNATIVE PROPOSALS FOR STOP-OVER FARES WITH SUPPORTING STATISTICAL DATA. THERE WAS A VERY HELP- FUL DISCUSSION ON THE IMPLICATIONS FOR THE SCHEDULED SERVICES
OF BA AND QANTAS AND THE LIKELY REACTION OF THE INTERMEDIATE COUNTRIES. SOME FURTHER WORK IS BEING DONE BY BA AND QANTAS THIS AFTERNOON ON THE ESTIMATED CONSEQUENCES FOR TOURISM
IN THE ASEAN COUNTRIES OF THE COMBINED EFFECT OF THE ALTERNATIVE STOP-OVER FARES NOW BEING CONSIDERED AND THE
PROPOSED NEW LOW SECTOR FARES. WHEN THIS WORK IS COMPLETED WE HOPE TO BE ABLE TO REACH AGREEMENT ON A PROPOSED NEW STOP-
OVER FARE WHICH WILL GO SOME WAY TOWARDS MEETING THE
CRITICISMS OF THE ASEAN NATIONS ABOUT THE EXCESSIVE
DIFFERENTIAL BETWEEN STOP-OVER AND THROUGH FARES AND WILL ENGINE
IN CONJUNCTION WITH LOWER SECTOR FARES, HAVE A NEUTRAL EFFECT ON TOURISM IN THE ASEAN COUNTRIES, WHILST AT THE SAME TIME SAFEGUARDING THE INTERESTS OF BA AND QANTAS IN THE CARRIAGE OF THROUGH TRAFFIC.
2. THIS AFTERNOON'S DiscussiONS HAVE BEEN CONCERNED WITH
CHARTERS AND WILL BE REPORTED ON SEPARATELY.
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MR BUTLER MISS BROWN MR MURRAY
CONFIDENTIAL