TNAG-2834-FCO40-4087-Air-services-agreement-between-Hong-Kong-and-Cambodia-1993 — Page 7

CONFIDENTIAL

FM HONG KONG

TO PRIORITY FCO

TELNO 133

CONFIDENTIAL

18115

RECEIVED IN REGISTRY

01 FEB 1593

DESK OFFICER

INDEX

REGISTRY

PA

Action Taken

OF 290956Z JANUARY 93

INFO PRIORITY PHNOM PENH, DIP

©

120122

MDLIAN 0592

YRTELNO 23 AND PHNOM PENH TELNOS 4 AND 6: HK/CAMBODIA AIR SERVICES

1. FOLLOWING RECEIPT OF FIRST TUR WE HAVE HAD FURTHER DISCUSSIONS WITH DRAGONAIR AND UKREP JLG AND CONCLUDED THAT WE SHOULD PROPOSE TO THE CAMBODIANS AN INTER-GOVERNMENTAL ARRANGEMENT ALONG THE LINES OF THAT WE HAVE NEGOTIATED WITH THE VIETNAMESE. IN PRACTICE, WE WOULD AIM FOR THE TERMS OF SUCH AN ARRANGEMENT TO MIRROR, AS FAR AS POSSIBLE, THE LIKELY TERMS OF A FUTURE ASA, IN ORDER TO REDUCE THE NEED FOR FURTHER EXTENSIVE NEGOTIATION WHEN WE COME TO REPLACE THE ARRANGEMENT BY A FORMAL ASA. WE AGREE THAT IT WOULD PROBABLY ALSO BE LOGICAL FOR THE UK/CAMBODIA EXCHANGE OF LETTERS OF JANUARY 1969 TO BE TERMINATED IN PARALLEL WITH THE FINALISING OF THE NEW ARRANGEMENT.

2. OUR PREFERENCE WOULD BE TO COMMENCE NEGOTIATION AFTER THE FORTHCOMING CAMBODIAN ELECTION, BY WHICH TIME THE POLITICAL SITUATION WILL HOPEFULLY BE A LITTLE CLEARER. AS IT HAPPENS, THIS IS ALSO PROBABLY THE EARLIEST THAT OUR AIR SERVICES NEGOTIATORS COULD MAKE THEMSELVES AVAILABLE.

3. IN THE MEANTIME WE WOULD HAVE NO OBJECTION TO KAMPUCHEA AIRLINES COMMENCING SCHEDULED SERVICES UNDER AN OPERATING PERMIT • SUBJECT OF COURSE TO THEIR FULFILLING THE USUAL REQUIREMENTS OF OUR AVIATION AUTHORITIES. WE WOULD PROPOSE THAT THE OPERATING PERMIT BE ISSUED UNDER THE AUSPICES OF AN INTER-GOVERNMENTAL EXCHANGE OF LETTERS SETTING OUT THE LEVEL OF SERVICES TO BE OPERATED BY THE AIRLINES OF EACH SIDE. IT IS IMPORTANT THAT WE SECURE THE PRINCIPLE OF RECIPROCITY AT THE OUTSET, GIVEN THAT DRAGONAIR WILL NOT BE READY TO COMMENCE OPERATION BEFORE MAY.

4. ON THIS POINT, DRAGONAIR HAVE ASSURED US THAT THEY REMAIN AS KEEN AS EVER TO COMMENCE SERVICES AS SOON AS THEY HAVE SUFFICIENT AIRCRAFT AVAILABLE. WE HAVE BEEN INFORMED PRIVATELY THAT SENIOR MANAGEMENT DID NOT AUTHORISE THE STATEMENTS RELATING TO POLITICAL CONCERNS REPORTED IN THE RECENT SOUTH CHINA MORNING POST ARTICLE

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