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AIR SERVICES AGREEMENT 

BETWEEN

THE KINGDOM OF THE NETHERLANDS

AND

THE REPUBLIC OF MADAGASCAR

preamble

	The Kingdom of the Netherlands 

and 

	The Republic of Madagascar, 

hereinafter referred to as the Contracting Parties,

	BEING parties to the Convention on International Civil Aviation opened
for signature at Chicago on 7 December 1944;

	DESIRING to contribute to the progress of international aviation;

	DESIRING to conclude an Agreement for the purpose of establishing air
services, supplementary to the Convention;

have agreed as follows:

CHAPTER I 

Introduction

Article 1 

Definitions

	For the purpose of this Agreement

the term “Aeronautical Authorities" means: for the 

Kingdom of the Netherlands, the Minister of Transport, Public Works and
Water Management; for the Republic of Madagascar: the Ministry of
Transport, or in either case any person or body authorized to perform
any functions at present exercised by the said Authorities; 

the terms "Agreed Service" and "Specified Route" 

mean: international air service pursuant to this Agreement and the route
specified in the Annex to this Agreement respectively; 

the term "Agreement" means: this Agreement, its Annex drawn up in
application thereof, as well as  any amendment to the Agreement or the
Annex;  

the terms "Air Service", "International Air Service", "Airline" and
"Stop for non-traffic purposes" shall have the meaning respectively
assigned to them in Article 96 of the Convention;     

the term "Change of Aircraft" means: the operation of one of the Agreed
Services by a Designated Airline in such a way that one or more sectors
of the Specified Route are flown by different aircraft;

the term “the Convention" means: the Convention on International Civil
Aviation, opened for signature at Chicago on 7 December 1944, and
includes any Annex adopted under Article 90 of that Convention and any
amendment of the Annexes or the Convention under Articles 90 and 94
thereof, insofar as those Annexes and amendments have become effective
for, or been ratified by both Contracting Parties;   

the term "Designated Airline" means: the Airline which has been
designated and authorized in accordance with Article 3 of this Agreement
(Designation and Authorization); 

the term "Stores" means: articles, of a readily consumable nature, for
use or sale on board an aircraft during flight including commissary
supplies; 

the term "Price" means: any amount charged or to be charged by the
airline, directly or through their agents, to any person or entity for
the carriage of passengers (and their baggage) and cargo (excluding
mail) in air transportation, including:

 the conditions governing the availability and applicability of a Price;
and 

the charges and conditions for any services ancillary to such carriage
which are offered by the Airline;

the term "Territory" in relation to either Contracting Party shall be
deemed to be the land areas and territorial waters adjacent thereto
under the sovereignty, suzerainty, protection or mandate of the
Contracting Party;

the term “User Charge” means: a charge imposed on Airlines for the
provision of airport, air navigation, or aviation security facilities or
services including related services and facilities.

the term "Capacity" means: the combination of frequency per week and
(the configuration of) the type of aircraft used on the route offered to
the public by the Designated Airline;

CHAPTER II

Objectives

Article 2

Grant of Rights

1.	Each Contracting Party grants to the other Contracting Party except
as otherwise specified in the Annex the following rights for the conduct
of international air transportation by the Designated Airline(s) of the
other Contracting Party: 

the right to fly across its Territory without landing;    

the right to make stops in its Territory for non-traffic purposes; and

while operating An Agreed Service on a Specified Route, the right to
make stops in its Territory for the purposes of taking up and
discharging international traffic in passengers, baggage, cargo and
mail, separately or in combination. 

 

2. 	Nothing in paragraph 1 of this Article shall be deemed to grant the
right for one Contracting Party's Airline(s) to participate in air
transportation between points in the Territory of the other Contracting
Party (cabotage).

Article 3

Designation and Authorization

1. 	Either Contracting Party shall have the right, by written
notification through diplomatic channels to the other Contracting Party,
to designate one or more airline(s) to operate International Air
Services on the routes specified in the Annex and to substitute another
Airline for an Airline previously designated.

2. 	On receipt of such a notification, each Contracting Party shall,
without delay, grant to the airline(s) so designated by the other
Contracting Party the appropriate operating authorizations subject to
the provisions of this article, unless it is not satisfied that: 

i) 	in the case of the airline(s) designated by the Kingdom of the
Netherlands:

1.	it is established in the territory of the Kingdom of the Netherlands
under the Treaty establishing the European Community and has a valid
Operating Licence in accordance with European Community law; and

2.	effective regulatory control of the airline is exercised and
maintained by the European Community Member State responsible for
issuing its Air Operator’s Certificate and the relevant aeronautical
authority is clearly identified in the designation,

in the case of the airline(s) designated by the Republic of Madagascar: 

1.	it is established in the territory of the Republic of Madagascar and
has a valid Operating Licence in accordance with applicable law of the
Republic of Madagascar; and

2.	effective regulatory control of the airline is exercised and
maintained by the Republic of Madagascar,

  

	and that:

the Government designating the airline(s) is maintaining and
administering the standards set forth in Article 16 (Safety) and Article
17 (Aviation Security).

the Designated Airline(s) is/are qualified to meet the conditions
prescribed under the laws and regulations normally applied to the
operations of international air transportation by the Contracting Party
considering the application or applications.  

3.	Upon receipt of the operating authorization of paragraph 2 of this
Article a Designated Airline may at any time begin to operate the Agreed
Services, in part or in whole, provided that it complies with the
provisions of this Agreement.

Article 4

Revocation and Suspension of Authorization

Each Contracting Party shall have the right to withhold, revoke, suspend
or limit the operating authorizations of an Airline designated by the
other Contracting Party where:

i) 	in the case of the airline(s) designated by the Kingdom of the
Netherlands:

1.	it is not established in the territory of the Kingdom of the
Netherlands under the Treaty establishing the European Community or does
not have a valid Operating Licence in accordance with European Community
law; or

2.	effective regulatory control of the airline is not exercised or not
maintained by the European Community Member State responsible for
issuing its Air Operator’s Certificate or the relevant aeronautical
authority is not clearly identified in the designation.

in the case of the airline(s) designated by the Republic of Madagascar:

1.	it is not established in the Republic of Madagascar or does not have
a valid Operating licence in accordance with applicable law of the
Republic of Madagascar; or

2.	effective regulatory control is not exercised or not maintained by
the Republic of Madagascar.

ii)	that Airline has failed to comply with the laws and regulations
referred to in Article 14 (Application of Laws, Regulations and
Procedures) of this Agreement;     

iii)	the other Contracting Party is not maintaining and administering
the standards set forth in Article 16 (Safety);

iv)	such Airline fails to qualify before the Aeronautical Authorities of
the Contracting Party assessing the authorization, under the laws and
regulations normally and reasonably applied to the operation of
International Air Services by these Authorities in conformity with the
Convention;

v)	the Airline otherwise fails to operate in accordance with the
conditions prescribed under this Agreement.

     Unless immediate action is essential to prevent further
non-compliance with paragraph 1 of this Article, the rights established
by this Article shall be exercised only after consultation with the
other Contracting Party. Unless otherwise agreed by the Contracting
Parties, such consultations shall begin within a period of sixty (60)
days from the date of receipt of the request.

     This Article does not limit the rights of either Contracting Party
to withhold, revoke, limit or impose conditions on the operating
authorization of an Airline or Airlines of the other Contracting Party
in accordance with the provisions of Article 17 (Aviation Security).

CHAPTER III

Commercial provisions

Article 5

Prices

 Each Contracting Party shall allow Prices for air transportation to be
established by each Designated Airline based upon commercial
considerations in the marketplace. Intervention by the Contracting
Parties shall be limited to: 

a.	prevention of unreasonably discriminatory Prices or practices;

b.	protection of consumers from Prices that are unreasonably high or
restrictive due to the abuse of a dominant position; 

c.	protection of Airlines from Prices that are artificially low due to
direct or indirect governmental subsidy or support.

2. 	Neither Contracting Party shall require notification or filing of
any price to be charged by the designated airline or airlines of the
other Contracting Party. Prices may remain in effect unless subsequently
disapproved under paragraph 3 below.

Neither Contracting Party shall take unilateral action to prevent the
inauguration or continuation of a Price charged or proposed to be
charged by (a) an Airline of either Contracting Party for international
air transportation between the territories of the Contracting parties,
or (b) an Airline of one Contracting Party for international air
transportation between the Territory of the other Contracting Party and
any other country. If either Contracting Party considers any such Price
inconsistent with the considerations set forth in paragraph (1) of this
Article, it shall request consultations and notify the other Contracting
Party of the reasons for its dissatisfaction as soon as possible. These
consultations shall be held not later than thirty (30) days after
receipt of the request, and the Contracting parties shall co-operate in
securing information necessary for reasoned resolution of the issue. If
the Contracting Parties reach agreement with respect to a Price for
which a notice of dissatisfaction has been given, each Contracting Party
shall use its best efforts to put that agreement into effect. Without
such mutual agreement, the Price shall take effect or continue to be in
effect until such time the dispute has been resolved under Article 20 of
the Agreement.

Notwithstanding the provisions of this Article, the designated
airline(s) of the Republic of Madagascar shall not be entitled to
introduce new products or lower fares than the ones existing for
identical products on air services for carriage wholly within the
European Community.  

Article 6

Commercial Activities

1.	The Designated Airline(s) of each Contracting Party shall be allowed:

a.	to establish in the Territory of the other Contracting Party offices
for the promotion and sale of air transportation and ancillary or
supplemental services  (including the right to sell and to issue any
ticket and/or airway bill, both its own tickets and/or airway bills and
of any other carrier) as well as other facilities required for the
provision of air transportation; 

b.	in the Territory of the other Contracting Party to engage directly
and, at its discretion, through its agents, and/ or other airlines in
the sale of air transportation and ancillary or supplemental services;

c.	to sell such transportation and ancillary or supplemental services
and any person shall be free to purchase such transportation or services
in any currency.

  The Designated Airline(s) of each Contracting Party shall be allowed
to bring in and maintain in the Territory of the other Contracting Party
its managerial, commercial, operational and technical staff as it may
require in connection with the provision of air transportation and
ancillary or supplemental services. 

  These staff requirements may, at the option of the Designated Airline,
be satisfied by its own personnel or by using the services of any other
organization, company or Airline operating in the Territory of the other
Contracting Party, authorized to perform such services in the Territory
of that Contracting Party. 

  Each Designated Airline shall have the right to perform its own
groundhandling in the Territory of the other Contracting Party
(“selfhandling”), or, at its option, select among competing agents
for such services in whole or in part. This right shall be subject only
to physical constraints resulting from considerations of airport safety.
Where such considerations preclude selfhandling, ground services shall
be available on an equal basis to all airlines; charges shall be based
on the costs of services provided; and such services shall be comparable
to the kind and quality of services as if selfhandling were possible. 

5.	In operating or holding out the Air Services on the Specified Routes,
each Designated Airline of one Contracting Party may enter into
commercial and/or cooperative marketing arrangements including but not
limited to blocked-space, code-sharing and leasing arrangements, with
any other Airline including an Airline of a third country, provided (a)
that the operating carrier in such arrangements holds the appropriate
operating authorization, and (b) that tickets make it clear to the
purchaser at the point of sale which Airline will actually operate each
sector of the service and with which Airline or Airlines the purchaser
is entering into a contractual relationship. The code-sharing services
of the marketing carrier will not be counted as a frequency.

6.	Notwithstanding any other provision of this Agreement, the Designated
Airline(s) and indirect providers of air transportation of either of the
Contracting Parties shall be permitted, without restriction, to employ
in connection with international air transportation any surface
transportation for passengers, cargo and mail to or from any points in
the Territories of the Contracting Parties or in third countries,
including transport to and from all airports with customs facilities,
and including, where applicable, the right to transport cargo and mail
in bond under applicable laws and regulations.

Such passengers, cargo and mail, whether moving by surface or by air,
shall have access to airport customs processing and facilities.
Designated Airline(s) may elect to perform their own surface
transportation or to provide it through arrangements with other surface
carriers, including surface transportation operated by other Airlines
and indirect providers of air cargo transportation. Such intermodal
services may be offered at a single, through price for the air and
surface transportation combined, provided that passengers and shippers
are not misled as to the facts concerning such transportation.

7.	The activities mentioned in this Article shall be carried out in
accordance with the laws and regulations of the other Contracting Party.
In case of the Netherlands this includes applicable European Community
law.

Article 7

Noise

On the routes to and from their respective Territories the operations by
the Airlines concerned shall be with aircraft which conform to standards
that are specified in the Annex to this Agreement.

Article 8

Change of Aircraft

1.	On any segment or segments of the Specified Routes, a Designated
Airline may perform international air transportation without any
limitation as to change at any point on the Specified Route, in type or
number of aircraft operated, provided that in the outbound direction the
transportation beyond such point is a continuation of the transportation
from the Territory of the Contracting Party that has designated the
Airline and, in the inbound direction, the transportation to the
Territory of the Contracting Party that has designated the Airline is a
continuation of the transportation from beyond such point.

2.	For the purpose of Change of Aircraft operations, a Designated
Airline may use its own equipment and, subject to national regulations,
leased equipment, and may operate under commercial and/or cooperative
marketing arrangements with (an) other Airline(s). 

3.     A Designated Airline may use different or identical flight
numbers for the sectors of its Change of Aircraft operations.

Article 9

Fair Competition

1.	Each Contracting Party shall allow a fair and equal opportunity for
each Designated Airline to compete in providing the international air
transportation governed by this Agreement.

2.	Each Contracting Party shall take all appropriate action within its
jurisdiction to eliminate all forms of discrimination or unfair
competitive practices adversely affecting the competitive position of a
Designated Airline of the other Contracting Party. 

3.	Each Contracting Party shall allow each Designated Airline to
determine the frequency and capacity of the international air
transportation it offers based upon commercial considerations in the
marketplace. Consistent with this right, neither Contracting Party shall
unilaterally limit the volume of traffic, frequency or regularity of
service, or the aircraft type(s) operated by the Designated Airline(s)
of the other Contracting Party, except as may be required for customs,
technical, operational, or environmental reasons under uniform
conditions consistent with Article 15 of the Convention.

4.	Neither Party shall impose on the other Party’s Designated Airlines
a first-refusal requirement, uplift ratio, no-objection fee, or any
other requirement with respect to capacity, frequency or traffic that
would be inconsistent with the purposes of this Agreement.

CHAPTER IV

Financial provisions

Article 10

Taxes, Customs Duties and Charges

	1.	Aircraft operating on International Air Services by the Designated
Airline(s) of either Contracting Party, as well as their regular
equipment, spare parts, supplies of fuels and lubricants,  Stores as
well as advertising and promotional material kept on board such aircraft
shall, on the basis of reciprocity, be exempt from all customs duties,
inspection fees and similar national or local duties and charges, on
arrival in the Territory of the Contracting Party, provided such
equipment and supplies remain on board the aircraft up to such time as
they are re-exported.

	2.	With regard to regular equipment, spare parts, supplies of fuels and
lubricants and  Stores introduced into the Territory of one Contracting
Party by or on behalf of a Designated Airline of the other Contracting
Party or taken on board the aircraft operated by such Designated Airline
and intended solely for use on board that aircraft while operating
International Air Services, no duties and charges, including customs
duties and inspection fees imposed in the Territory of the first
Contracting Party, shall be applied, even when these supplies are to be
used on the parts of the journey performed over the Territory of the
Contracting Party in which they are taken on board. The articles
referred to above may be required to be kept under customs supervision
and control. The provisions of this paragraph cannot be interpreted in
such a way that a Contracting Party can be made subject to the
obligation to refund customs duties which already have been levied on
the items referred to above. 

	3.	Regular airborne equipment, spare parts, supplies of fuels and
lubricants and Stores retained on board the aircraft of either
Contracting Party may be unloaded in the Territory of the other
Contracting Party only with the approval of the customs authorities of
that Contracting Party, who may require that these materials be placed
under their supervision up to such time as they are re-exported or
otherwise disposed of in accordance with customs regulations.

	4.	Baggage, cargo and mail in transit shall be exempt from customs
duties and her similar taxes.

	5.	The exemptions provided by this Article shall also be available
where a Designated Airline(s) of one Contracting Party has contracted
with another Airline, which similarly enjoys such exemptions from the
other Contracting Party, for the loan or transfer in the Territory of
the other Contracting Party of the items specified in paragraphs 1, 2
and 3 of this Article.

	6.	Nothing in this Agreement shall prevent the Kingdom of the
Netherlands from imposing, on a non-discriminatory basis, taxes, levies,
duties, fees or charges on fuel supplied in its territory for use in an
aircraft of a designated air carrier of the Republic of Madagascar that
operates between a point in the territory of the Kingdom of the
Netherlands and another point in the territory of the Kingdom of the
Netherlands or in the territory of another European Community Member
State

Article 11

User Charges

	1.	User Charges that may be imposed and or controlled by the competent
charging authorities or bodies of each Contracting Party on the Airlines
of the other Contracting Party shall be just, reasonable, not unjustly
discriminatory, and equitably appointed among categories of users. In
any event, any such Users Charges shall be assessed on the Airlines of
the other Contracting Party on terms not less favorable than the most
favorable terms available to any other Airline at the time the charges
are assessed.

	2.	User Charges imposed on the Airlines of the other Contracting Party
may reflect, but shall not exceed, the full cost to the competent
charging authorities or bodies of providing the appropriate airport,
airport environmental, air navigation, and aviation security facilities
and services at the airport or within the airport system. Such full cost
may include a reasonable return on assets, after depreciation.
Facilities and services for which charges are made shall be provided on
an efficient and economic basis.

	3.	Each Contracting Party shall encourage consultations between the
competent charging authorities or bodies in its Territory and the
Airlines using the services and facilities, and shall encourage the
competent charging authorities or bodies and the Airlines to exchange
such information as may be necessary to permit an accurate review of the
reasonableness of the charges in accordance with the principles of
paragraphs (1) and (2) of this Article.Each Contracting Party shall
encourage the competent charging authorities to provide users with
reasonable notice of any proposal for charges to enable users to express
their views before changes are made.

	4.	Neither Contracting Party shall be held to be in breach of a
provision of this Article, unless: (i) it fails to undertake a review of
the charge or practice that is the subject of complaint by the other
Contracting Party within a reasonable amount of time; or (ii) following
such a review it fails to take all steps within its power to remedy any
charge or practice that is inconsistent with this Article.

Article 12

Double Taxation

	1.	Income and profits from the operation of aircraft in international
traffic shall be taxable only in the State in which the place of
effective management of the Designated airline is situated.

	2.	Gains from the alienation of aircraft operated in international
traffic shall be taxable only in the State in which the place of
effective management of the Designated Airline is situated.

	3.	Capital represented by aircraft operated in international traffic
and by moveable property pertaining to the operation of such aircraft
shall be taxable only in the State in which the place of effective
management of the Designated Airline is situated.

	4.	The provisions of paragraph 1 of this Article shall also apply to
income and profits from the participation in a pool, a joint business, a
cooperative marketing arrangement or an international operating agency.

	5.	If an agreement between the Contracting Parties on avoidance of
double taxation and the prevention of fiscal evasion on income and on
capital in which air transport is addressed envisages procedures
different from those referred to in paragraph 1-4 of this Article, the
provisions of the agreement on avoidance of double taxation on income or
capital shall be applicable.

Article 13

Transfer of Funds

1.	The Designated Airline(s) of each Contracting Party shall be entitled
to transfer, from the Territory of sale to their home Territory the
excess, in the Territory of sale, of receipts over expenditure. Included
in such net transfer shall be revenues from sales, made directly or
through agents, of air transport services, and ancillary or supplemental
services, and normal commercial interest earned on such revenues while
on deposit awaiting transfer.

2.	The Designated Airline(s) of each Contracting Party shall receive
approval for such transfer within at most thirty (30) working days of
application, into any currency, at the official rate of exchange for
conversion of local currency, as at the date of sale.

3.	The Designated Airline(s) of each Contracting Party shall be entitled
to effect the actual transfer on receipt of approval.

CHAPTER V

Regulatory provisions

Article 14

Application of Laws, Regulations and Procedures

1.	The laws, regulations and procedures of either Contracting Party
relating to the entrance or entry into or departure from its Territory
of aircraft engaged in International Air Services, or to the operation
and navigation of such aircraft, shall be complied with by the
Designated Airline(s) of the other Contracting Party upon their entrance
into, and until and including their departure from, the said Territory. 

2.	The laws, regulations and procedures of either Contracting Party
relating to immigration, passports, or other approved travel documents,
entry, clearance, customs and quarantine shall be complied with, by or
on behalf of crews, passengers, cargo and mail carried by aircraft of
the Designated Airline(s) of the other Contracting Party upon their
entrance into, and until and including their departure from the
Territory of the said Contracting Party.

 

3.	Passengers, baggage, cargo and mail in transit across the Territory
of either Contracting Party and not leaving the area of the airport
reserved for such purpose shall, except in respect of security measures
against violence and air piracy, be subject to no more than a simplified
control.

 

4.	Neither of the Contracting Parties shall give preference to any other
Airline over the Designated Airline(s) of the other Contracting Party in
the application of its customs, immigration, quarantine, and similar
regulations; or in the use of airports, airways and air traffic services
and associated facilities under its control. 

5. 	Each Contracting Party shall, upon request of the other Contracting
Party supply copies of the relevant laws, regulations and procedures
referred to in this Agreement.

Article 15

Recognition of Certificates and Licenses

Certificates of airworthiness, certificates of competency and licenses
issued, or rendered in reciprocity, by one Contracting Party and still
valid, shall be recognized as valid by the other Contracting Party for
the purpose of operating the Agreed Services on the Specified Routes,
provided that the requirements under which such certificates and
licenses were issued, or rendered in reciprocity, are equal to or higher
than the minimum requirements which are, or may be in the future,
established under the Convention.

Each Contracting Party, however, reserves the right to refuse to
recognize, for flights above its Territory, certificates of competency
and licenses granted to or validated for its own nationals by the other
Contracting Party.

Article 16

Safety

1.	Each Contracting Party may request consultations at any time
concerning safety standards in any area relating to air crew, aircraft
or their operation adopted by the other Contracting Party. Such
consultations shall take place within 30 (thirty) days of that request.

2.	If, following such consultations, one Contracting Party finds that
the other Contracting Party does not effectively maintain and administer
safety standards and requirements in any such area that are at least
equal to the minimum standards established at that time pursuant to the
Convention, the first Contracting Party shall notify the other
Contracting Party of those findings and the steps considered necessary
to conform with those minimum standards, and that other Contracting
Party shall take appropriate corrective action. Failure by the other
Contracting Party to take appropriate action within 15 days or such
longer period as may be agreed, shall be grounds for the application of
Article 4 of this Agreement (Revocation and Suspension of
Authorization).

3.	Notwithstanding the obligations mentioned in Article 33 of the
Convention it is agreed that any Aircraft operated by or, under a lease
arrangement, on behalf of the Airline or Airlines of one Contracting
Party on Services to or from the Territory of the other Contracting
Party may, while within the Territory of the other Contracting Party, be
made the subject of an examination by the authorized representatives of
the other Contracting Party, on board and around the aircraft, to check
both the validity of the aircraft documents and those of its crew and
the apparent conditions of the aircraft and its equipment (ramp
inspections), provided this does not lead to unreasonable delay.

4. 	If any such ramp inspection or series of ramp inspections gives rise
to:

serious concerns that an aircraft or the operation of an aircraft does
not comply with the minimum standards established at that time pursuant
to the Convention; or

b)	serious concerns that there is a lack of effective maintenance and
administration of safety standards established at that time pursuant to
the Convention, 

the Contracting Party carrying out the inspection shall, for the purpose
of Article 33 of the Convention, be free to conclude that the
requirements under which the certificate or licenses in respect of that
aircraft or in respect of the crew of that aircraft had been issued or
rendered valid, or that the requirements under which that aircraft is
operated, are not equal to or above the minimum standards established
pursuant to the Convention.

5.	In the event that access for the purpose of undertaking a ramp
inspection of an aircraft operated by the Airline or Airlines of one
Contracting Party in accordance with paragraph 3 above is denied by the
representative of that Airline or Airlines, the other Contracting Party
shall be free to infer that serious concerns of the type referred to in
paragraph 4 above arise and to draw the conclusions referred to in that
paragraph.

6.	Each Contracting Party reserves the right to suspend or vary the
operating authorization of an Airline or Airlines of the other
Contracting Party immediately in the event the first Contracting Party
concludes, whether as a result of a ramp inspection, a series of ramp
inspections, a denial of access for ramp inspection, consultations or
otherwise, that immediate action is essential to the safety of the
Airline’s operation.

7.	Any action by one Contracting Party in accordance with paragraphs 2
or 6 above shall be discontinued once the basis for the taking of that
action ceases to exist.

8.	Each Contracting Party shall see to it that the Designated Airline(s)
will be provided  with communicative, aviation and meteorological
facilities and any other Services necessary for the safe operations of
the Agreed Services.

Article 17

Aviation Security

1.	The Contracting Parties agree to provide assistance to each other as
necessary with a view to preventing unlawful seizure of aircraft and
other unlawful acts against the safety of aircraft, its passengers and
crew, airports and air navigation facilities and any other threat to
security of civil aviation.

2.	Each Contracting Party agrees to observe non-discriminatory and
generally applicable security  provisions required by the other
Contracting Party for entry into the Territory of the other Contracting
Party and to take adequate measures to inspect passengers and their
carry-on items. Each Contracting Party shall also give sympathetic
consideration to any request from the other Contracting Party for
special security measures for its aircraft or passengers to meet a
particular threat. 

3.	The Contracting Parties shall act in accordance with applicable
aviation security provisions established by the International Civil
Aviation Organization. Should a Contracting Party depart from such
provisions, the other Contracting Party may request consultations with
that Contracting Party. Unless otherwise agreed by the Contracting
Parties, such consultation shall begin within a period of 60 (sixty)
days from the date of receipt of such a request. Failure to reach a
satisfactory agreement could constitute grounds for the application of
Article 20 of this Agreement. 

4.	The Contracting Parties shall act in conformity with any agreement
effective between them regarding the suppression of acts of unlawful
interference, inter alia in respect of aircraft in flight, aircraft in
service and/or safety at airports.

5.	When an incident, or threat of an incident, of unlawful seizure of 
aircraft or other unlawful acts against the safety of aircraft, its
passengers and crew, airports and air navigation facilities occurs,  the
Contracting Parties shall assist each other by facilitating
communications intended to terminate rapidly and safely such incident or
threat thereof.

6.	When a Contracting Party has reasonable grounds to believe that the
other Contracting Party has departed from the aviation security
provisions of this Article, the Aeronautical Authorities of the first
Contracting Party may request immediate consultations with the
Aeronautical Authorities of the other Contracting Party. Failure to
reach a satisfactory agreement within 15 days from the date of such
request shall constitute grounds to withhold, revoke, limit or impose
conditions on the operating authorization of an Airline or Airlines of
that other Contracting Party. When required by an emergency, a
Contracting Party may take interim action prior to the expiration of
these 15 days.

CHAPTER VI

Procedural provisions

Article 18

Timetable

Neither Contracting Party shall require the filing of schedules,
programs for flights or operational plans by Designated Airline(s) of
the other Contracting Party for approval, except as may be required on a
non-discriminatory basis to enforce the uniform conditions foreseen by
paragraph 2 of Article 9 (Fair Competition) or as may be specifically
authorized in the Annex to this Agreement. If a Contracting Party
requires filings for information purposes, it shall minimize the
administrative burdens of filing requirements and procedures on air
transportation intermediaries and on Designated Airline(s) of the other
Contracting Party.

Article 19

Consultation and Amendment

1.	In a spirit of close cooperation the Aeronautical Authorities of the
Contracting Parties may consult each other from time to time with a view
to ensuring the implementation of, and satisfactory compliance with, the
provisions of this Agreement.

2.	Either Contracting Party may request consultations with a view to
amend this Agreement and or its Annex. These consultations shall begin
within sixty (60) days from the date of the receipt of the request by
the other Contracting Party, unless otherwise agreed. Such consultations
may be conducted through discussion or by correspondence.

3.	Any amendment of this Agreement agreed upon by the Contracting
Parties, shall come into force on the date on which the Contracting
Parties have informed each other in writing, through the exchange of
diplomatic notes, of the completion of their respective constitutional
requirements.

4.	Notwithstanding the provisions of paragraph 3 above any amendment of
the Annex to this Agreement shall be agreed upon in writing between the
Aeronautical Authorities and shall take effect on a date to be
determined by the said Authorities.

Article 20

Settlement of Disputes

1.	If any dispute arises between the Contracting Parties relating to the
interpretation or application of this Agreement, the Contracting Parties
shall in the first place endeavour to settle their dispute by bilateral
negotiations. 

2.	If the Contracting Parties fail to reach a settlement by negotiation,
the dispute may at the request of either Contracting Party be submitted
for decision to a tribunal of three arbitrators, one to be named by each
Contracting Party and the third to be agreed upon by the two arbitrators
so chosen, provided that such third arbitrator shall not be a national
of either Contracting Party. Each of the Contracting Parties shall
designate an arbitrator within a period of sixty (60) days from the date
of receipt by either Contracting Party from the other Contracting Party
of a diplomatic note requesting arbitration of the dispute and the third
arbitrator shall be agreed upon within a further period of sixty (60)
days. If either of the Contracting Parties fails to designate its own
arbitrator within the period of sixty (60) days or if the third
arbitrator is not agreed upon within the period indicated, the President
of the Council of the International Civil Aviation Organization may be
requested by either Contracting Party to appoint an arbitrator or
arbitrators. 

3.	The Contracting Parties undertake to comply with any decision given
under paragraph 2 of this Article. 

CHAPTER VII

Final provisions

Article 21

Duration and Termination

.

1.	Either Contracting Party may, at any time, give notice in writing
through diplomatic channels to the other Contracting Party of its
decision to terminate this Agreement.

2.	Such notice shall be simultaneously communicated to the International
Civil Aviation Organization. In such case this Agreement shall terminate
12 (twelve) months after the date of receipt of the notice by the other
Contracting Party, unless the notice to terminate is withdrawn by
agreement between the Contracting Parties before the expiry of this
period. In the absence of acknowledgement of receipt of the notice of
termination by the other Contracting Party, such notice shall be deemed
to have been received fourteen (14) working days after the receipt of
that notice by the International Civil Aviation Organization.

Article 22

Registration with ICAO

This Agreement shall be registered with the International Civil Aviation
Organization.

Article 23

Applicability of Multilateral Agreements and Conventions

1.	The provisions of the Convention shall be applicable to this
Agreement.

2.	If a multilateral agreement or convention, accepted by both
Contracting Parties, concerning any matter covered by this Agreement,
enters into force, the relevant provisions of that multilateral
agreement or convention shall supersede the relevant provisions of this
Agreement.

3.	The Contracting Parties may consult each other to determine the
consequences for the Agreement of the supersession, as mentioned under
paragraph 2 of this Article and to agree upon required amendments to the
Agreement.

Article 24

Applicability of the Agreement

As regards the Kingdom of the Netherlands this Agreement shall apply to
the Territory in Europe only.

Article 25

Entry into Force

This Agreement shall be provisionally applied from the day following the
date of its signature and shall enter into force on the first day of the
second month following the date on which the Contracting Parties have
informed each other in writing that the formalities and constitutional
requirements in their respective countries have been complied with. 

IN WITNESS WHEREOF, the undersigned, being duly authorized thereto by
their respective Governments, have signed this Agreement, 

DONE AT                                on                               
                                                    

in two original copies, in the French and English language, each copy
being equally authentic.

For the Kingdom of 					For the Republic of 		

the Netherlands 					Madagascar 			

______________________				______________________

Annex

I Route Schedule

to the Air Services Agreement between the Kingdom of the Netherlands and
the Republic of Madagascar.

1.	The Designated Airline(s) of the Kingdom of the Netherlands shall be
entitled to operate Air Services on the route specified hereunder:

All points in the Netherlands – All Intermediate points – Two (2)
points in Madagascar – All points beyond and vice versa.

2.	The Designated Airline(s) of the Republic of Madagascar shall be
entitled to operate Air Services on the routes specified hereunder:

All points in Madagascar – All intermediate points – Two (2) points
in the Netherlands – All points beyond and vice versa.

3.	Any or all of the intermediate points and/or points beyond on the
Specified Routes may, at the discretion of each Designated Airline, be
omitted on any or all of the flights, provided that those flights
originate, respectively terminate in the Territory of the Contracting
Party which has designated the Airline.

4.	Notwithstanding Article 9 paragraph 3, each Contracting Party shall
be allowed to operate seven (7) weekly frequencies on the routes
mentioned above in any combination and in any order, without
restrictions as to the aircraft type and configuration.    

5.	Each Designated Airline shall have the right to exercise own
stop-over rights at all intermediate and all beyond points.

6.	Each Designated Airline may combine different flight numbers within
one aircraft operation.

7.	Each Designated Airline may serve points behind and/ or to any point
in its territory with or without change of aircraft or flight number and
may hold out and advertise such services to the public as through
services.

8.	Each Designated Airline shall have the right to intermingle on the
Specified Routes. 

9.	On the routes to and from their respective Territories the operations
by the Designated Airlines shall be with aircraft which conform to the
standard specified in Part II, Chapter 3, Volume 1 of Annex 16 to the
Convention (latest edition), such that the difference between the sum of
the certified noise levels and the sum of the Chapter 3 limit values is
more than 5 EPN db. 

II Fifth freedom rights

The Designated Airline(s) of the Republic of Madagascar shall have the
right to choose two (2) intermediate rover points and two (2) beyond
rover points in Africa and Europe with full fifth freedom rights at
these points

The Designated Airline(s) of the Kingdom of The Netherlands shall have
the right to choose two (2) intermediate rover points and two (2) beyond
rover points in Africa and Europe with full fifth freedom rights at
these points

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