TNAG-0641-FCO40-789-Discussions-between-Hong-Kong-and-Macao-for-proposed-constru-1977 — Page 23

QUI A AZIJINLAND

LINE TO TAKE

Visit by President Eanes

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1. The British Government are looking forward in principle th

a State Visit by President Eanes in 1978. Possible dates will be

considered shortly.

British Farmers

2. We welcome the progress made in setting up the machinery for

consideration of the claims for compensation of dispossessed British

farmers. But some farmers are not happy with the arbitration procedures

proposed. The UK hope this matter can now be settled quickly.

Bilateral Social Security Agreement (Defensive)

3.

We appreciate the Portuguese wish for an agreement and welcome the

discussions that have taken place between Portuguese and British

officials this. We hope that progress can be made towards an

agreement but there are financial constraints to be considered.

Macao Airport (Defensive)

4. The reply given to the Portuguese proposal to build an airport at

melphil

Macao was intended to be constructive one. The proposal must have

the agreement of the People's Republic of China if it is to progress.

We look to the Portuguese authorities to establish the Chinese view.

BACKGROUND

Visit by President Eanes

5. In March, the Portuguese accepted in principle an invitation for

President Eanes to visit the UK as guest of the British Government but

indicated that timing (ie UK ideas of a visit in 1977) might be

difficult. The President's wife, who would normally accompany him,

is expecting a baby about October. Dr Ferreira also expressed

considerable concern about the level of treatment compared with visitors

under the old regime.

CONFIDENTIAL

16.