The Secretary of State to the Chargé in Brazil ( Daniels )
714. Before replying to your recent tels re air transport agreement it was thought desirable to await CAB Latin American route decision and to consult with CAB as to how far we should go in offering Bermuda agreement77 with Brit as additional basis for our bilateral agreement with Brazil. CAB has just informed Dept that it would strongly prefer to adhere to our original draft, but if Brazilians insist on incorporating certain principles from Bermuda agreement, we should then give serious consideration to their request.
Reur 807 Apr 30,76 it is impossible to send Mission at this time to assist Emb in negotiations particularly since officials who might otherwise be available are now in Montreal for PICAO Assembly. However, it is hoped that Emb can push negotiations on basis of original draft.
Following are in answer to points raised in your 849 May 8:76
CAB’s decision on Latin
American routes was announced May 22. Subsequent consultation
with Board indicates they wish route pattern to remain as in
original draft but with addition of new route 6 as follows:
“US via intermediate points in the Caribbean and West Coast of South America to Asuncion and São Paulo to Rio de Janeiro; in both directions.”
- Also add “in both directions” after route 3 in original draft annex.
- Addition of route 6 above reflects new proposed route awarded to Braniff Airways, which you will note in CAB Latin American decision forwarded under separate cover. Routes 4 and 5 of original [Page 471] draft via Manaos do not appear in CAB decision, but Board wishes them included in discussions on basis of possible future operations and for trading purposes if Brazilians ultimately refuse to grant them.
- Route 1 proceeding to Africa does not appear in Latin American decision, but may be included in forthcoming South Atlantic decision.
- Same general language can be used as in Annex; A to describe landing rights and routes accorded to Brazil.
- There is no specific reference to Fifth Freedom rights in either agreement or its Annex but in absence of any restrictive clause it is considered as being covered through use of words “international traffic” in first pgh of Annex. This form has been used in virtually all of our pre-Bermuda agreements although there is a more specific reference to Fifth Freedom rights in numbered pgh 6 of Bermuda Final Act.
With above info and with final details of CAB route decision now available, it is hoped Emb can proceed with further discussions without delay.