FALKLANDS/ARGENTINA

  Thank you for your letter of 28 April.

  The UK's position on the sovereignty of the Falkland Islands remains unchanged. We have no doubts about UK sovereignty over the Falkland Islands and will not negotiate on this issue unless and until that is the wish of the Falkland Islanders. The principle of self-determination—the right of the Islanders to decide their own future—underlies our position on the sovereignty of the Falkland Islands. We continue to make this point to the Argentine government.

  The UK values its bilateral relationship with Argentina and wants it to be constructive and positive. However, this relationship is affected by the sovereignty dispute over the Falkland Islands. The 1994 Argentine Constitution contains a commitment to secure sovereignty over the Falkland Islands by peaceful means. This position was recently re-affirmed publicly by Argentine President Kirchner on 2 April.

  The UK wants to continue to co-operate with the Argentine government on practical measures for mutual benefit within the framework of the formula on sovereignty agreed in 1989, and our agreements of 1990 and 1999. This "sovereignty umbrella" protects each country's legal position in respect of the sovereignty dispute. Issues discussed within this framework cannot be treated as a step towards sovereignty negotiations. In the 1990s progress was made in a number of fields, to the benefit of both Argentina and the Falkland Islands.

  However, in November 2003, the Argentine government withdrew permission for charter flights to the Falklands to overfly Argentine airspace. Since then, in a number of areas, the Argentine government has indicated it cannot make progress on practical issues unless this is linked to progress towards sovereignty negotiations. As this conditionality is unacceptable to the UK, little progress has been made in recent years. Last year (2005) saw a marked increase in the number of protest notes handed to our Embassy in Buenos Aires and sent to international organisations. We have rejected these notes on each occasion.

  Some of the developments on individual issues are as follows:

Fisheries

  In the 1990 Joint Statement, both governments agreed to establish the South Atlantic Fisheries Commission (SAFC) in order to hold regular discussions on the management and conservation of fish stocks in the South West Atlantic. The SAFC has met normally twice a year, usually in July and December, under the "sovereignty umbrella", with a representative of the Falkland Islands Government present—as part of the UK delegation. The SAFC is usually preceded by a scientific meeting to share data on fish and squid stocks. The last SAFC meeting took place in Buenos Aires in December 2005. However, it proved impossible to reach agreement on the agenda. The Argentine government also cancelled the scientific pre-meeting, as they had done in July 2005, and declined to take part in the customary Research Cruise to assess the state of illex stocks, although data sharing has continued.

  The Argentines linked the failure to agree the agenda and the cancellation of the scientific meetings to the adoption of a new fisheries management regime by the Falkland Islands Legislative Council on 26 August 2005. This changed the basis of the Islands' fisheries management system from short term licensing to long term ownership rights of up to 25 years in duration. The system will come into operation for some stocks on 1 July 2006. This was a decision for the Falkland Island Government. It was aimed at ensuring the longer-term viability of the fishing industry and conservation of stocks. We fully support the Falkland Islands Government in its activities to develop and conserve its fisheries. The change in licensing regime does not affect the UK's commitment to co-operate with Argentina within the SAFC (which places no restrictions on the fisheries management regime of either party). We are exploring arrangements for the next meeting of the Commission with the Argentine government.

Hydrocarbons

  Exploration for offshore hydrocarbons is currently being undertaken by companies holding licences issued by the Falkland Islands Government in areas to the north and the south east of the Falkland Islands. This is consistent with the UK's sovereign rights over the Falkland Islands. Exploration is at an early stage. Seismic surveys are underway with a view to exploratory drilling in due course. The Argentine government has expressed its concern at these developments, as part of their sovereignty claim over the Falkland Islands.

Air links

  Air access from the UK to the Falkland Islands is provided by the Airbridge (via Ascension) run by the Ministry of Defence. The 1999 Joint Statement between the UK and Argentina allowed for the resumption of the weekly scheduled flight by Lan Chile from Punta Arenas to Mount Pleasant (which makes one stopover per month in each direction in Argentina.) However, separately in November 2003, the Argentina government withdrew permission for charter flights to the Falklands to overfly Argentine airspace. Private flights are permitted between the Islands and Argentina under an Exchange of Letters made in 2000.

  The UK and the Falkland Islands Government would like to see an arrangement reached with Argentina that would permit resumption of charter flights overflying Argentine airspace. We have told the Argentine government that we would be prepared to enter into discussions on this issue, but that any future arrangements must be acceptable to the Falkland Islands Government. So far we have not reached an agreed basis with the Argentine government for starting such discussions.

Demining

  As a result of the 1982 conflict, there are over a 100 mine fields, containing some 20,000 mines, in the Falkland Islands. The 1999 UK/Argentine Joint Statement and 2001 Exchange of Notes, established a mechanism to discuss possible clearance. Since then, talks have continued between the two governments, with a view to reaching agreement to satisfy the UK's international obligations on the destruction of anti-personnel mines in the Falkland Islands under the Ottawa Convention. We are negotiating the modalities of a joint feasibility study which we plan to undertake before the end of 2006.

Continental Shelf Delimitation

  The 1999 agreement between the Argentine and UK governments established a mechanism to co-operate on continental shelf delimitation. The UK wants to continue to co-operate with the Argentine government in respect of submitting a claim on continental shelf delimitation to the UN. However, there is a deadline of 2009 to submit a claim, and if agreement cannot be reached we will need to submit unilaterally.

  Two recent events have also come to the attention of Parliament:

Falklands Fishing Vessel "John Cheek"

On 20 February, the Falklands fishing vessel "John Cheek" was boarded by Argentine coastguard officials and escorted to Comodoro Rivadavia for allegedly fishing inside the Argentine Exclusive Economic Zone. The vessel and its 100 tons of catch were detained pending a decision by the Argentine authorities. The UK government was in touch throughout the period with the Argentine Government. The Fishing Vessel paid an administrative penalty and was then released.

HMS Endurance

HMS Endurance arrived at Puerto Belgrano (Argentina's main naval base) on 10 March to use the dry dock to carry out urgent repairs to her rudder. Subsequently the port was subject to strikes on wage issues. The Argentine government offered every assistance and the ship set sail on 6 April.

Chris Stanton

Parliamentary Relations and Devolution Team

Foreign and Commonwealth Office

5 June 2006