ISLAMABAD After it was asked to vacate the Camp Mirage military base by UAE, the Canadian government is now planning to establish an airbase in Cyprus to move Canadian soldiers and equipment out of Afghanistan, as the deadline for starting withdrawal of troops approaches, diplomatic sources told TheNation Saturday. Canadas dispute with the United Arab Emirates over airline landing rights entered into second week, meanwhile prime Minister of Canada is said to have made up his mind to not to allow two airlines including Emirates and Etihad unfettered access to Canadian cities. It is pertinent to mention here that the UAE for many years has sought expanded landing rights in Canada. However, Canada has been reluctant to allow foreign carriers smooth access to Canadian cities. Both the UAE and Canada locked horns last week when the disagreement sparked tension between the two countries and the Middle Eastern country, in a high-profile expression of national anger, closed its airspace to a jet carrying Canadian Defence Minister Peter MacKay. To add fuel to fire, the UAE has asked Canada to vacate its Camp Mirage military base over yonder in retaliation for this countrys airline protectionism. Following UAEs ultimatum to vacate military base, Canadian government has contacted Cyprus to establish an airbase there in order to move Canadian soldiers and equipment out of Afghanistan as it has already announced to start troops withdrawal in 2011. Diplomatic sources told TheNation that dispute between Canada and UAE has sparked tension between liberals and Conservatives in Canada, with Opposition Liberals accusing the government of incompetence and bungling in its negotiations with the UAE and that the Harper cabinet is split on the landing-rights controversy. Also the same, diplomatic sources based in Islamabad feared on Saturday that negotiations on landing rights between Canada and the United Arab Emirates have instead escalated into a dispute that could damage diplomatic relations between the two nations. According to reports Mohammed Abdullah al-Ghafli has warned the Canadian side that the failure to reach a deal undoubtedly affects the bilateral relationship between the nations. It is important to mention here that the UAE is Canadas largest trading partner in the region and home to some 27,000 Canadians. Some of the Canadians based in Islamabad told this correspondent when contacted for comments that losing base in the UAE is not good for relations and for business in the future for both the UAE and Canada.