BRITISH CARGO CARRIERS WILL PETITION EC OVER U.S. RIGHTS

   British cargo airlines, still steaming after the U.K. government granted Federal Express the right to serve Europe from Scotland, said they will petition the European Commission to force the U.S. to open its wet-lease cargo market to European airlines.
   The move comes after the U.K. Parliament denied a request made by the carriers to open an investigation into the process by which FedEx won the rights at Prestwick.
   U.K. transport officials granted FedEx so-called "fifth-freedom" rights, which allow the carrier to fly from the U.S., through the U.K., to other European destinations. Governments often limit the fifth-freedom rights of foreign carriers to protect markets for national airlines.
   The British Cargo Airline Alliance, representing the four major U.K. cargo airlines, said that the FedEx award is a "blatant political manipulation and an attempt to buy Scottish votes."
   British transportation officials have asked the U.S. to open new talks aimed at liberalizing the U.S.-U.K. cargo markets. But the British carriers have likened their government’s negotiating stance to that of a gambler who showed his cards before sitting down at the table.
   U.S. officials are evaluating the U.K. government’s proposal and no new talks are scheduled, a U.S. Transportation Department spokesman said.
   The BCAA says it has enlisted the support of some 20 cargo carriers in Europe to help pressure the EC and European state government’s into action against the U.S.
   Currently, U.S. airlines are not permitted to lease foreign aircraft, although foreign airlines often lease aircraft from U.S. carriers, such as Atlas Air. The BCAA estimates that the U.S. wet-lease market is worth $4 billion.
   "If the British government is willing to give way on a fundamental case of this kind, then we must seek protection from the European Commission," said Christopher Foyle, chairman of Air Foyle and the BCAA.