TNAG-1218-FCO40-1523-Future-of-the-Dependent-Territories-1983 — Page 81

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FALKLAND ISLANDS

FALKLAND ISLANDS AND DEPENDENCIES

Relations with Argentina

1.

The Government have made it clear that while we are not

prepared to resume negotiations on sovereignty, as though nothing had happened, we are more than willing to live at peace

with Argentina and to move back towards a normal bilateral relationship. There has been little response from the

Argentines, who have not even declared a definitive cessation of

hostilities, still less renounced a further resort to force in

pursuit of their sovereignty claim. This being so, it is difficult to predict what progress might be possible in other, hypothetical, circumstances.

2.

We have at least made some slight progress with the

reciprocal lifting of financial restrictions last September (and are taking steps to ensure full Argentine compliance with this agreement). We are also pursuing, together with our EC partners, the possibility of an early reciprocal lifting of

commercial restrictions, although so far the Argentine response

has not been encouraging.

3.

Further progress depends on Argentina. It is her

intransigence which is blocking it so far. And so long as she

maintains her threat to the Falkland Islands, we ourselves will

provide the Islands with adequate protection. This will in no

way prevent us from giving continued support and impetus to the

social and economic development of the Islands, in accordance

with the decisions announced by the Foreign and Commonwealth Secretary on 8 Decembr 1982.

Argentine Claim

4.

We must expect the Argentines to maintain their sovereignty claim. It has been accepted as a fact of life. What we have not been prepared to accept, however, is the Argentine position that any negotiations must be on the basis that they will lead to a transfer of sovereignty.

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