Singapore urges Open Skies deal as part of FTA with
Australia
30 May 2006 CNA
SYDNEY : Singapore is pressing to incorporate a full "open skies"
deal into a bilateral free trade agreement (FTA) with Australia
following Canberra's recent refusal to grant Singapore Airlines
access to the lucrative Sydney-Los Angeles route.
Trade Minister Mark Vaile told The Australian Financial Review
newspaper that Singapore wanted the open skies issue covered during
a biannual review in coming months of the free trade pact
originally signed in 2003.
Vaile said, however, that Australia was standing by its
position that the two issues must be kept separate.
"It was deliberately left out of the the FTA because it's a
separate negotiation conducted by transport departments," Vaile
said.
"It's a stand-alone issue that we will continue to
deal with on its merits by itself."
Vaile argued that Australia had already progressively opened up
access for Singapore Airlines in Australia "at a fairly dramatic
rate over the last six or seven years to the point where they just
have enormous access".
The newspaper said Singapore's campaign had been given a boost by
the release of a letter from former deputy prime minister John
Anderson to Singapore in which he raised the possibility of a
"state of the art open skies agreement" being reached in parallel
with the free trade talks.
Prime Minister John Howard has been accused of favouring
Australia's main airline, Qantas, by frustrating foreign companies'
attempts to expand services to and onward from Australia.
The Financial Review said Qatar Airways, Vietnam Airlines and
Cathay Pacific had all been rebuffed by the government in recent
months when they sought broader access to Australia in recent
months.
Howard's government in February rejected Singapore Airlines'
request for access to the Australia-US route even though the
Singapore bid was reportedly backed by several cabinet members,
including the tourism, transport and foreign ministers. -
AFP/ch
2.Under
FTA,it seems open skies deal as part of FTA.
Article 22
Air Transport Services
4. Both Parties agree to review developments in the air
transport
sector at the first review of this Agreement under Article 3
(Review) of
Chapter 17 (Final Provisions), or at any other time agreed
between the Parties, with a view to including these
developments in this Agreement.
5. While both Parties affirm their rights and obligations
under
the Agreement between the Government of the
Commonwealth of Australia and the Government of
the Republic of Singapore relating to Air Services, signed
on 3 November 1967 and any subsequent amendments
thereto, both Parties agree to work towards an Open
Skies Air Services Agreement and to review that work
in accordance with the provisions of Article 22.4.
6. The Parties affirm, mutatis mutandis, their rights and
obligations
under the GATS, including the Annex on Air Transport Services.
3.Outgoing Sg Transport Minister Yeo said in his last
interview,
that Aussie so far had not given their official refusal of
Sydney--LA route request.This is not responsible.Is Aussie
distracted and thought thay have done so,like Gomez?
4.31.05.2006 news Minister Yeo expressed the same view.
5.
But the Singapore campaign may be assisted by the release of a
letter - obtained by the Review under freedom of information
laws - in which former deputy prime minister John Anderson
wrote to Singapore in the lead-up to the original FTA talks saying
he had asked his department to resume consultations, hoping it
would lead to a "state of the art open skies agreement".
The Singapore Australia Free Trade Agreement (SAFTA), signed in
July 2003, is up for two-yearly review in coming months.
Singapore Airlines was excluded in February from the lucrative
trans-Pacific route, reportedly in favour of Qantas and Virgin
Blue.
Singaporean sources say the FTA review will be reliant on progress
of the open skies issue.
