Argentina Accused of Sabotaging Falklands Trade

Argentina was today accused of laying economic siege to the Falkland Islands and having "colonialist aspirations" towards the British overseas territory.

A leading member of the Falkland Islands government, Mike Summers, told a business forum in London that relations with Argentina had deteriorated significantly to the extent that deliberate efforts were being made to damage the islands' economy.

He said the Falklands government was seeking to amend the constitution to strengthen the principle of self-determination for the islanders and head off any future attempts by Argentina to reclaim the territory.

"Argentina has attempted to disrupt trade through denial of over-flight rights for charter flights supporting the tourist industry and by passing new laws to make it illegal for foreign companies fishing in Argentina to also fish in Falklands waters," he said.

Accusing the Argentine government of trying to "lay siege to the Falklands by economic sanctions," he also claimed it had tried to prevent Falkland Islanders from representing themselves at trade fairs by "putting illegitimate pressure on organisers and hosts to exclude us".

Relations have worsened over the past few years. The Argentine president, Nestor Kirchner, has strenuously reaffirmed his country's claim to the Malvinas, as the Falklands are known in Argentina.

Mr Summers said the Falklands government was seeking to place the issue of self-determination in a more prominent place in the constitution. Negotiations with the Foreign and Commonwealth Office over this are under way and the revised constitution could be in place soon.

Foreign Office minister Kim Howells told the Falkland Islands Forum that the UK's commitment to self-determination is "as strong in 2007 as it was in 1982".

"We remain committed to the security of the islands and the surrounding waters and of those who live and work there," he said.

"We will continue to work through diplomatic means for closer cooperation between the islands and their neighbours in South America."

Chris Simpkins, the Falkland government's chief executive, said the "dark cloud of invasion had a silver lining" in that both the islands' population and economy were booming.

He said there were now people from 62 different nations living there, including a growing Chilean contingent.

Last month, the Argentine government withdrew from a joint declaration with the United Kingdom about cooperation on oil and exploration around the islands.

The Argentine foreign minister, Jorge Taiana, accused the UK of seeking to justify "its illegitimate and unilateral action to explore for resources that belong to the Argentinian citizens".