Argentinian and US negotiators will meet again after failing to agree on a new bilateral. Earlier this year, presidents Bill Clinton and Carlos Menem asked their negotiators to wrap up an accord by March, which they hoped would result in an open skies agreement.
A main sticking point is that Aerolineas Argentinas enjoys exclusivity on key US routes, including Miami, New York, and Los Angeles. Buenos Aires decreed these as part of the flag carrier's privatisation nine years ago. They do not expire until November 2000. The government is reluctant to allow more entry by US carriers until Argentinian airlines can counter with flights of their own. LAPA is the only other Argentinian airline allowed to serve the USA.
Meanwhile, Argentinian carrier Dinar has applied to launch flights to the Falkland Islands, the nearby UK possessions. The islands have not had a service from Argentina since the 1982 war over sovereignty.
Source: Airline Business
