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3. AS FAR AS SERVICES ON THE TRUNK ROUTE WERE CONCERNED, THE AUSTRALIANS HAD MADE IT CLEAR THAT IN OFFERING CONCESSIONS
ON STOPOVERS AND ACCESS TO THE THROUGH APEX FARE THEY COULD
ONLY SPEAK FOR THEMSELVES. IT WOULD BE FOR THE ASEAN
GOVERNMENTS TO NEGOTIATE PARALLEL ARRANGEMENTS WITH THOSE
EUROPEAN COUNTRIES TO WHICH THROUGH SERVICES FROM AUSTRALIA OPERATED, AND TO ALLOCATE THEIR ACCESS TO THE THROUGH APEX FARE (350 SEATS A WEEK) BETWEEN ASEAN CARRIERS AND EUROPEAN DESTINATIONS. BUT THE AUSTRALIANS WOULD NOT THEMSELVES BE PREPARED TO RENEGOTIATE THESE CONCESSIONS, AND BELIEVED THAT ACCESS TO THE THROUGH APEX FARE WAS ESSENTIAL TO ASEAN
ACCEPTANCE OF I CAP. IN THEIR VIEW, THE ASEAN GOVERNMENTS HAD AS YET LITTLE IDEA OF HOW THEY WOULD
APPROACH THE EUROPEAN GOVERNMENTS CONCERNED, AND THERE WAS
APPARENTLY SOME DISPUTE WITHIN ASEAN ON WHETHER THEY WOULD
LIKE AUSTRALIAN HELP IN DEALING WITH THE EUROPEANS.
THE AUSTRALIANS TOLD US OF A FURTHER PROBLEM WHICH
COULD ADD TO THE DIFFICULTIES OF INTRODUCING ICAP ARRANGEMENTS
ON THE TRUNK ROUTE. AIR INDIA HAD SAID THEY WOULD WISH TO
RE-INTRODUCE A SECOND 747 SERVICE BETWEEN INDIA AND AUSTRALI A
WITH FULL ACCESS TO THE NEW LOW FARES, EVEN THOUGH THE TRAFFIC BETWEEN THE TWO COUNTRIES ALONE WOULD NOT FILL A SINGLE 747. ACCORDING TO AIR INDIA, IF THIS CONDITION WAS NOT MET THE INDIANS WOULD BE PREPARED TO DENOUNCE THE CMU GOVERNING AIR
SERVICES BETWEEN INDIA AND AUSTRALIA, AND TO DENY QANTAS USE OF BOMBAY, WHICH IS AT PRESENT ESSENTIAL TO SERVICES BETWEEN WESTERN AUSTRALIA AND EUROPE. AUSTRALIAN DISCUSSIONS
ON THIS ISSUE HAVE SO FAR BEEN ONLY WITH AIR INDIA, AND THIS MAY JUST BE AN OPENING POSITION, BUT IF THE GOVERNMENT OF
INDIA SUPPORTED AND PERSISTED WITH THIS LINE THE AUSTRALIANS
WOULD BE IN REAL DIFFICULTY. ROBERTS WOULD BE GRATEFUL IF
NEW DELHI WOULD REPORT ANYTHING THEY HEAR, BUT THEY SHOULD NOT RAISE THE POINT WITH THE GOVERNMENT OF INDIA, SINCE WE DO NOT WANT
TO GIVE THE IMPRESSION THAT WE OR THE AUSTRALIANG ARE SERIOUSLY
WORRIED BY WHAT MAY BE NO MORE THAN AN AIR INDIA INITIATIVE.
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5. ON THE